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Now here’s something so many small business owners and freelancers don’t actually do: keep hold of anything related to your finances.
I’m talking about receipts (even those that seem absolutely unnecessary), email and other types of online or written correspondation, and anything you can think of that has something to do with the business.
Keep track of everything going on with your money
Some get scared when they hear about budgeting. But that’s where all the control over your money and managing them well begins. By knowing what’s coming in and where it’s going.
Make saving a habit
Habits are important. So we must develop the right ones about every area of life we want to improve.
One such habit when it comes to your finances as a self-employed person is to always be saving no matter what.
Have a separate account for that and set aside something weekly or monthly.
Don’t be afraid to ask for help
You don’t need to do it all on your own.
Speaking to professionals and asking for advice is always a good investment of your time and resources. It will pay off in the long-run too.
Using the services of an invoice factoring company, for example, can turn your whole financial situation around and guarantee you a more secure future.
Their experts offer friendly, fast and reliable services.
Learn more about all the things you can deduct.
So many people pay more taxes in the end of the year than they actually need to.
As a self-employed individual, you’ve got more deductions than you probably know.
Let’s begin with office space and supplies, and anything directly related to the business. If you’re working at home, that can be half of the rent in some countries, or percentage of the house used for office space.
Then comes travel. Your next trip can be considered business costs if you find a way. So keep track of all transactions related to it.
As for mileage, you can calculate what you use from when you’re leaving the office (or your home if these are one) to the moment you come back.
Using your phone too much? International calls, 2 lines, or else? Well, deduct phone bills then.
Some meals and/or drinks can also go without tax considering they go together with meeting a client or potential partner. Need more info? Ask a professional for help or setup an appointment with Alvareztaxinc.