Freelancing Finances: Taxes, LLCs, and Staying Organized

[cryptohog]

Taxes and finances are a critical part of freelancing success. Here’s what I learned after filing my first year as a single-member LLC:

File quarterly estimated payments—your employer no longer handles withholding.

Keep business and personal finances completely separate. Use a dedicated business account and debit card.

Use bookkeeping software your accountant recommends (I use Xero).

Track all receipts—business expenses and health insurance premiums are deductible.

Remember: the first year can feel overwhelming, but establishing these practices early will save time, stress, and potential mistakes. Treat your freelance work like a business from day one.

[kelson10]

Quarterly payments can feel overwhelming at first, but breaking them into smaller chunks keeps cash flow healthy and avoids surprise tax bills in April.

[jacson4]

Tracking every deductible expense—software, home office, mileage—really adds up. Staying organized throughout the year saves both money and stress.

[EmTeam]

Use bookkeeping software your accountant recommends