10 Tax Deductions Every Small Business Owner Should Know

Running a small business isn’t easy—but saving on taxes can be. If you’re a freelancer, side hustler, or running your own shop, you’ve got more ways to cut your tax bill than you might think. Let’s break down 10 common tax deductions that could save you serious cash.

1. Home Office Deduction Working from home? If there’s a space you use just for work (like that corner in your guest room), you could qualify for a home office deduction. There’s a simple method based on square footage or a more detailed one where you track your actual expenses.

2. Business Use of Your Car Using your car for work errands or meetings? You can deduct either your mileage or actual costs like gas and maintenance. Pro tip: Apps like MileIQ make tracking a breeze.

3. Office Supplies & Gear Buying pens, notebooks, or even a new laptop? If it’s for your business, it likely counts. Bigger items might qualify for a full write-off in the year you buy them.

4. Internet and Phone Bills If you use your phone or Wi-Fi for business (which most of us do!), you can write off the business-use portion. Just estimate how much is used for work vs. personal stuff.

5. Business Meals Grabbing coffee with a client? Having lunch with a vendor? You can usually deduct 50% of those meal costs. Just make sure it’s business-related and jot down the details.

6. Travel Expenses Heading out of town for a conference or client meeting? Flights, hotels, Ubers—those can all be deductible. If you mix business with pleasure, only the business part counts.

7. Professional Services Hiring a tax pro, lawyer, or web designer? Those fees are deductible since they help keep your business running.

8. Marketing and Advertising Running ads on Instagram? Printing flyers? Using an email service like Mailchimp? If it helps spread the word about your biz, it probably counts as a tax write-off.

9. Insurance Premiums If you pay for business insurance (like liability or property insurance), you can deduct that. Depending on how your biz is set up, some health insurance might count too.

10. Education and Training Taking a course or going to a workshop to improve your business skills? That’s another deduction! Just make sure it’s directly related to what you do.

Conclusion Tax time doesn’t have to be scary. With a little planning, these deductions can help you hang onto more of your hard-earned money. Want an easy way to keep track of what to deduct?