Freelancer tax deductions are business expenses you can subtract from your income before you pay tax. Every legitimate expense lowers both your income tax and your 15.3% self-employment tax, so missing them is like paying the IRS a tip. The IRS rule is simple: you can deduct any expense that is ordinary (common in your … Read more
If you freelance, this guide shows you how to fill out Schedule C line by line, from your first dollar of income to the net profit you’ll pay tax on. Schedule C (Form 1040), Profit or Loss From Business, is the form where sole proprietors and single-member LLC owners report what they earned and what … Read more
If you just got your first 1099 and your tax software showed a number far bigger than you expected, you’re not alone. The surprise almost always has the same cause: self-employment tax. Self-employment tax is the Social Security and Medicare tax that freelancers, contractors and gig workers pay on their own. When you work for … Read more