With rising prices, sole traders are feeling the pressure of higher operating costs.
It’s important to review your financial situation and pay attention to hidden benefits that can help reduce the pressure during tough times.
As prices continue to rise, should we accept poverty?
Although some organisations predicted the economic trend for 2023 and said that prices will tend to stabilize in the second half of the year.
As of now, March’s inflation data is slightly lower than before, which simply means that the rate of price increase has slowed down.
What’s worse, the price of groceries is gradually slowing down, but the future trend is still unclear.
For sole traders, having a stable operating condition is the key to sustainable income.
Apply for business expenses
As a sole traders or freelancer, any income exceeding the personal tax exemption threshold needs to be taxed.
Usually, some work-related expenses can be exempted (tax-free) when calculating tax.
For example, the most common ones: office supplies, office equipment, etc. You can also consult our accounting team for specific help.
Other fee lists
In addition to office supplies and equipment, if you also rent office buildings and safety maintenance fees, you can also declare them.
If you need to travel for work reasons, you can also keep evidence and declare it.
Most of the marketing expenses you spend on the company are eligible for application.
Any clothing and subscriptions for office use, organisations, and publications can also be declared.
Specific details need to be determined based on different project expenses, so we strongly recommend that you seek the help of our accounting team.
Work from home declaration
As sole traders, if you work from home, you can declare different expenses.
Since you only use one room as an office, you can declare heating, electricity, municipal taxes, rent, communication fees, etc.
The expenses you need to declare must be proportionally calculated. For example, if you have six rooms but only use one for the office, you need to declare 1/6 of the expenses.
We understand that many self-employed individuals are going through difficult times. If you have any financial problems, you can consult our accounting team for free.