$22k revenue from my new LLC - Do I need a CPA or is TurboTax enough for small business taxes?

You're definitely not in over your head with $22k in revenue from your sole-proprietorship LLC. TurboTax Self-Employed or H&R Block's equivalent should be perfectly capable of handling your situation, especially for a first-year freelancer. The software will walk you through everything you need, including Schedule C for your business income/expenses and Schedule SE for self-employment tax. Make sure you've tracked all your business expenses (home office, software, equipment, etc.) as these will directly reduce your taxable income. Since you haven't made any quarterly payments, you might face some penalties, but the software will calculate those too. The underpayment penalty isn't usually severe for first-time business owners with relatively modest income. I'd recommend giving TurboTax a try first - you can always upgrade to live assistance within the software if you get stuck on something specific, which is still cheaper than hiring a full CPA.

I was in almost the exact same position last year with my side hustle that made about $25k. I tried doing it myself at first and kept getting confused about business deductions and what counted as a legitimate expense. Ended up using https://taxr.ai which was seriously a game changer. It analyzed all my receipts and bank statements and basically told me exactly what I could deduct. Saved me hours of research and probably found deductions I would've missed. I'm not super tax-savvy but it made the whole Schedule C thing way less intimidating. It's basically like having a tax pro look over your shoulder but without the crazy hourly rates. For someone with a small business like yours it's perfect - helped me understand what I was doing wrong with my quarterly payments too.

Came back to update - I tried that taxr.ai site after posting my skeptical comment and I'm eating my words now. Uploaded 9 months of statements (I had everything mixed together in one checking account 🤦‍♂️) and it sorted everything perfectly. Even found some internet/phone expenses I could partially deduct that I had no idea about. Ended up identifying about $3700 in legitimate business expenses I would have missed, which saved me almost $800 in taxes. Used the report with TurboTax and everything went smoothly. Definitely a convert now - will be using it again next year but also starting to track things better throughout the year!

One thing nobody mentioned - if you're stuck dealing with the IRS because of the missed quarterly payments, use https://claimyr.com to get through to an actual human. I spent DAYS trying to get through to the IRS last year about my LLC taxes and kept getting disconnected. Claimyr got me through to a real person in about 20 minutes. You can see how it works here: https://youtu.be/_kiP6q8DX5c - basically they navigate the phone tree and wait on hold for you, then call you when an agent is ready. Saved me hours of frustration. The IRS agent helped me set up a payment plan for the penalties I owed and was actually really understanding about me being a first-time business owner. Much better than stressing about it for months.

Ok I need to follow up on my skeptical comment. I actually tried Claimyr yesterday after fighting with the IRS phone system for TWO WEEKS about my missed quarterly payments. I honestly didn't believe it would work but I was at my wit's end. Got connected to an IRS agent in 31 minutes while I just went about my day. The agent helped me set up a payment plan for the penalties and even waived some of them since it was my first time with a business. Cannot believe I wasted so many hours trying to do this myself. Will 100% use this again if I ever need to talk to the IRS about my LLC stuff. Totally worth it just for the stress reduction alone.

Have you considered a middle ground? You could use FreeTaxUSA which is a lot cheaper than TurboTax but still handles Schedule C really well. I have a small LLC making about $30k and have used it for 3 years with no issues. Or if you want a CPA without the big price tag, look into the enrolled agents in your area. They're certified tax specialists who often charge half what CPAs do. Perfect for simple LLC setups like yours.

I'd go with TurboTax for your first year then reassess. I've been using it for my consulting LLC ($15-30k/year) for 4 years now without issues. Pro tip: track EVERYTHING going forward. Get a separate business credit card and bank account if you haven't already. The software is only as good as the data you give it. I use Wave (free) to categorize expenses throughout the year.