Tax Advantages of being Self-Employed

If you're looking for a way to accelerate your savings so you can achieve financial independence more quickly, consider self-employment. The safest way to start is by earning self-employed income on the side while keeping your current full-time job. But regardless of whether you're self-employed part-time or full-time, you can benefit from many tax-deductible business expenses:

• *Home Office. Calculate the portion of your home that you use for self-employed income, then deduct that percentage of rent or mortgage payments, utilities, home insurance, property tax and home maintenance.
• *Business Entertainment. Deduct 50% of the cost of meals or events that involve business discussions.
• *Communications. Calculate the portion of phone, cellphone and Internet that are for business, then deduct that percentage of monthly bills.
• *Transportation. Keep track of how much of your vehicle's mileage relates to business, then deduct that percentage of costs for gas, maintenance, insurance, etc.
• *Subscriptions. Deduct the cost of magazines, newspapers, websites and cable channels related to your business.
• *Travel. Deduct business travel costs such as airfare, subway tickets, hotels and en route meals.
• *Continuing Education. Deduct the cost of courses that make you more effective in your business.

Be sure to keep all receipts. And if you're in doubt over any deduction, check with the tax office or an accountant. Kupina Mortgage Team | www.kupinamortgage.com