- Home office expenses
- Business-related travel and transportation costs
- Professional development and education expenses
- Health insurance premiums
- Retirement contributions
Home Office Expenses
As a freelance worker, you can deduct a portion of your rent or mortgage, utilities, and internet costs that are directly related to your home office.
Business-Related Travel and Transportation Costs
You can deduct expenses for business-related travel, such as mileage, parking fees, and tolls. Keep detailed records of these expenses to maximize your deductions.
Professional Development and Education Expenses
Costs associated with improving your skills or staying up-to-date in your field, such as workshops, courses, and professional memberships, can be deducted as business expenses.
Health Insurance Premiums
Freelancers who are not eligible for employer-sponsored health insurance can deduct their health insurance premiums, including those for themselves, their spouses, and dependents.
Retirement Contributions
Contributions to retirement accounts, such as a SEP-IRA or Solo 401(k), are tax-deductible for freelancers and can help reduce your taxable income. Be sure to maximize your contributions to take full advantage of this deduction.