So, for both the US and Canada, Tax Time is over. If you are like many people in the direct sales industry, you were rushing to find receipts, look for missing contact information, and overall just really stressed out. Do you need some great tax tips? One of my New Year resolutions this year was to be more organized at tax time, so I created this very high tech document!
Simple Tax Tips to make your life easier!
Yes, I am not use an app, or excel, or fancy computer software – I am using the old fashion method of paper and pen to keep track of my expenses. I have found that I am really bad at throwing everything into the shoe box, then at the end of the year, I am hunting for computer print outs. So, what I am doing is keeping a list beside my computer, just in a basic notebook of all the money that I spend. Then I am throwing the receipts into my file folders (done monthly). That way, every time I order something online, I just mark it down. Every morning, I am taking my receipts out of my wallet from the day before and marking those down too! Now, I will transfer this into my Freshbooks account, so that I can keep track of my expenses that way. But by doing this basic step every day, year end will be much simpler. I know what I am missing (if I am missing anything at all). Tax tips are simply a way to keep yourself organized and simplified.
Also, by keeping track of your expenses, you can have a better idea at the end of the year for your RRSP (Canadian) contributions, and also – if you should be looking at capital purchases towards the end of the year (like buying that fancy new computer) OR as we get into the back end of the year, if you need to do a bit more work so that hubby doesn’t complain that your business is costing you too much money.
If you are looking for a list of items that you can write off for your business check this out:
For Canada – CRA list of expenses for small business
For USA – IRS list of expenses for small business
Bye for now!