Learn About Taxes for Freelancers
In this video, I broke down the top things about taxes for freelancers. You need to know about these issues if you are doing a one-off project, accepting some side gigs, or launching a full-time business built on your freelance work.
Self Employment Tax Deductions
Freelancers often ask what’s deductible. That’s a complex issue, but in short anything that you need to spend to get your gigs done is deductible. Don’t forget about mileage – the IRS standard rate for 2019 is $.58 per mile. That really adds up if you must travel to see clients.
In this video we’ll talk about the three major scenarios in taxes for freelancers:
- You are accepting a one-off side job.
- You have developed a steady stream of work, but still working full-time elsewhere.
- You have gone full-time into business for yourself.
We’ll also discuss business licensing and bookkeeping issues. Spoiler alert: cities and counties are almost always going to want you to get a business license. But we’ll delve into the ins and outs of that.
We discussed the distinction between W-2 and 1099 employees in this video, so look back at our previous post on that.