So this week we’re going to take a dip into Taxes. Being a blogger… well it’s not just some a free for all. If you’re really taking your blog seriously… Meaning you look at it as a business (which you should) in some or all aspects then You need to be adding the earning and expenses to your taxes.
I’ve got 12 years of tax experience under my belt. I don’t claim to be a tax PRO but I definitely have more knowledge and experience than the average Joe. From Businesses, Retirements Filing, to Amendments I have worked with them all. What I do know is getting it RIGHT makes a Major difference in your bottom line and saves your from Lost time and COSTLY mistakes. Keeping proper documentation is crucial!
This week I want to go into the topic of taxes because believe it or not… Taxes do impact/affect your Money Situation unless you’re FULLY out of the Matrix (i.e. Sovereign) in that case Congratulations I’d certainly love to meet you on that journey. But sadly that’s not currently my reality, So here we are.
Bloggers have a unique position in regards to taxes. Currently I have only just begun to make money from my blogging. . . YEA I KNOW Finally here…
A brief moment in Gifs
But At least I can say that I have learned a FULL Range of ways to never be without income in the Online Money World EVER!!! Back to taxes… If you’re a blogger YOU SHOULD ABSOLUTELY be adding you earnings and expenses to your taxes…
Here’s why… If your blogging is anything like mine … You spend time and money on your blog to effect growth and to create a pleasant experience for blog readers as well. The main point key term as regards to your taxes, from the previous statement, is SPEND MONEY this is the single most important bit of info you need to determine if you need to file; Earning would be considered equally as important.
Ultimately that spending can tremendously impact your tax liability and/or refund.
I just SAVED A BUNCHA MONEY ON MY TAX
I don’t know about for you but for me money saved Converts to Available Cash! I need all coins
The Point… I spend money for my blogging and YouTube channel. I’M FILING IT ALL!!!
With that being said Your Blog is a business and your taxes should include the earnings and expenses from it.
Any Yearly Earnings over $400 should be filed should automatically be filed. Here’s some of the expenses you can file on your taxes.
- Advertising
- office expense
- supplies
- utilities
- repair and maintenance
- Meal and entertainment
- commission fees
- legal and professional services
- taxes and licenses
- contractor labor
- insurance
- mortgage interest
- other interest
- rent
- other rent
- business travel
- health coverage
- employee expense
- vehicle
- home office
- miscellaneous expenses
These expense may end up being a deduction from your tax liability resulting in less owed to Uncle Sam and/or more refund! In addition to your expenses you should also take any opportunity to input depreciation deductions.
- Depreciation is an income tax deduction that allows a taxpayer to recover the cost or other basis of certain property. It is an annual allowance for the wear and tear, deterioration, or obsolescence of the property.
Accessed 2/26 from IRS.GOV
For example On this years taxes I was able to add a depreciation deduction for my mac, purchased last year for my businesses; I was also able to depreciate my vehicle due to being a performing artist with travel and other expenses.
Please take a look at IRS Publication 946 to learn how to depreciate your property.
Filing your expenses and taking deductions can really help the bottom line for you as it did for me. In addition to my business expenses, because my blog is all about beauty I am able to add my beauty buys as an expense because I use these items for the purpose of creating great content for this brand.
You should consider the expenses you incur yearly for your blog in the same way. When you are spending money to create a profitable business with your blog these expenses and costs should be added especially in the beginning because we all know bloggers don’t make that much to start, and they are also counted as a loss when your earnings and income from that business don’t exceed a certain percentage. Basically you should never just eat it, especially when the IRS knows and understands this about business and they make a way to help small business owners. TAKE THE HELP!!!
Well Guys I hope this helps you in any and as many ways as possible. I look forward to exploring this and other Money Topics with you Next week For Money Monday’s.
Until Next Stay Healthy Happy And Always Loving
