tax return as a small business
So, time to share some important “mompreneur” info…
… file it away for next year’s “tax time”!
This year was the first year that I filled my taxes as a small business owner. And I really wish I’d not been so overwhelmed by the idea before! I feel the advantages definitely outweigh the disadvantages and it was easier than I thought.
There are many things you can claim if you are self-employed, including:
* a portion of your home space
* a portion of the costs of running your home (keep those electricity, water, and heating bills handy!)
* a portion of your internet and phone line costs
If there are things you need to buy to run your business, keep the receipts (and/or run them through a flatbed scanner) because you can claim those against your income as well. I actually wish I’d saved *more* of my receipts because I only managed to chip away a few hundred dollars off my income. Still did not need to pay any taxes, but I could’ve taken a larger chunk out of the amount of my income that went towards reducing my spouse’s taxes.
These business expenses can be things like office supplies (paper, folders, writing supplies, printer ink, labels, etc.) or things that you use to create your products (cardstock and ribbon, photo splits, etc.). And of course any membership or registration costs (such as the first-time business registration I paid last year to make KStar Design an official little company) count as well.
I don’t think I’ve ever remembered to post a picture of my home office, even though I took one a long time ago! Here’s my new little spot in our upstairs “4th bedroom”:
It still needs a lot of setting up (and I think may actually be messier now than in the picture, taken 1 month after we moved in last summer), but it’s coming along well and everything I need very often is at my fingertips. It’s a huge step up from our old office basement and I really feel very motivated when I’m in there to get as much work done as I can in the short times I’m able to attempt to do all those magical things that used to come so easily when I was able-bodied (sit up, focus, have a decent posture, not be distracted by pain, etc). I still have some hope when it comes to making my online work count for something, one way or another.
Signing off for now, your small-business-savvy “mompreneur”! 
June 01 2010 08:23 pm | work/career
June 2nd, 2010 at 10:12 pm
Do you find that having more natural light in your workspace helps with your productivity? When I moved my office into its current location it was coincidentally also the room with the largest window in the house. I find that I am much happier working for long stretches of time when I can just glance out the window. And for me more sunlight is better for the mood, especially in winter!
June 4th, 2010 at 12:50 pm
@Kat ~ it’s hard to tell because I spend a LOT less time in my office than I did at the old house in the years before the accident but yes I think it does effect the productivity for the times that I am there. It does definitely have an effect on mood! When I can get there, I usually feel very positive about getting as much work done as I can in that limited time.
Glad you are enjoying a sunny office experience these days too!