One of the areas often difficult for a small business owner or entrepreneur is taxes, especially on a freelance level. With so many people writing on the side now (including bloggers looking to make it a profession), Meryl Evans put together some great tips on how to manage federal income taxes.
She makes a great point in saying freelancers often launch their entrepreneurial dreams by focusing on their skill without paying enough attention to the business side. This can be dangerous, and it’s a point of emphasis you’ve read here on this blog, too. Here’s an example of one of the tips:
Set aside income for taxes. It’s easy to collect all the money someone pays you throughout the year. But a percentage of that money will go to the government, so you might as well have a pool of money to draw from when it’s time to pay up.
Click here to read the rest of the tips.
Here are some additional resources for you regarding small business taxes:
Working for Yourself: Law & Taxes for Independent Contractors, Freelancers & Consultants
Balance Sheet Basics: Financial Management for Nonfinancial Managers
Do you have any tips on how to manage federal income taxes?
