How to Be Organized for Tax Time as a Freelancer

Freelancing can be simultaneously rewarding and stressful. Unlike most in-house jobs, which have an HR staff, a sales staff, and so on, freelancers often have to wear many professional hats. Accordingly, organization for freelancers is paramount, and here are a few tips to help freelancers stay as organized as possible when it comes time to file taxes.

Spreadsheets are your friend: you already know that it takes a lot of organization to be a freelance employee. Between dealing with clients, tracking expenses, filing invoices, and maintaining your professional and personal schedules, a good ol’ spreadsheet or expense tracking app is invaluable. Not only will your clients appreciate how organized you are, you’ll be thankful for it at tax time. Your CPA will thank you, too.

Make record-keeping a part of your regular to do list: although the automation features of many organization apps can decrease the time you will need to dedicate to staying organized, you will still need to set aside time to put your business in order. Making self-organization part of the regular routine will help make your business run more smoothly overall.

Find a good CPA: if you’re a solo freelancer, your time is valuable and you likely account for time more so than the average employee. A good CPA can not only crunch numbers for you at tax time, but can also make recommendations to help you maximize your return. A larger return allows you to reinvest in your business (or take a vacation), and the extra time frees you up to focus on your work. Or to take that vacation early.

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