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Don't forget you can also deduct a portion of your home expenses if you use part of your home regularly and exclusively for business. Look up "home office deduction" in TurboTax. It's based on the percentage of your home used for business. Totally legit deduction that many new business owners miss!
Great question! I went through this exact same situation when I started my consulting business last year. You're absolutely on the right track - all those startup expenses you listed are definitely deductible as business expenses on Schedule C. A few quick tips for TurboTax: When you get to the "Federal" section, look for "Business Income and Expenses" or "Self-Employment." Once you tell TurboTax you have business income, it'll create a Schedule C for you and walk you through different expense categories. Your business cards and flyers go under "Advertising," the DBA fee goes under "Legal and Professional Services," and the logo software subscription would be "Other Business Expenses." One thing to keep in mind - since these are startup costs, make sure you're clear about when your business actually "began" (when you started actively trying to make money vs. just planning). The IRS has specific rules about startup costs vs. ongoing business expenses, but based on what you've described, it sounds like you're well within the limits. Keep those receipts organized! I learned that lesson the hard way. Good luck with your business!
Has anyone tried just using both names? When I got married, I filed as "Jane Maiden-Married" since my paperwork was still processing. It went through without issues.
That's terrible advice. You need to use EXACTLY what's in the Social Security database. Making up a hyphenated version when neither SSA nor your W-2 has that format will just create more problems.
I wasn't "making up" anything - that's literally what the Social Security office told me to do during the transition period! But maybe procedures have changed since I did mine a few years ago. I guess my situation might have been different because I was planning to hyphenate permanently, so that's what I had applied for with SSA. Sorry if that doesn't apply to everyone's situation!
I just went through this exact situation a few months ago! The key thing to understand is that there's often a delay between when you submit your name change application and when it actually updates in the IRS verification system. Here's what worked for me: I called the Social Security Administration directly (yes, the wait times are brutal) and asked them to confirm what name is currently showing in their records for my SSN. They told me that even though I had submitted my paperwork, my maiden name was still the "active" name in their system until the processing was complete. I ended up filing my taxes using my maiden name, and it went through without any issues. You can still file as "married filing jointly" even while using your maiden name - the filing status is separate from the name issue. One tip: if you do need to call SSA, try calling right when they open (usually 7 AM local time) to avoid the worst of the hold times. Good luck, and don't stress too much - this is a super common issue that lots of newly married people deal with!
idk if this helps but when I had this problem it was bc my birth certificate had my middle name spelled different than my ss card
Another thing to check - make sure you're using the exact same name format that appears on your W-2 forms. Sometimes employers use your old name on tax documents even after you've updated your info with them. If your W-2 shows your maiden name but you filed with your married name, that could cause the mismatch. You might need to file with your maiden name this year and update everything for next year's filing.
TaxSlayer might be part of the problem tbh. Used them for years but switched to FreeTaxUSA this year after TaxSlayer messed up my state return last time. Their system sometimes submits things in weird formats that trigger manual review flags at the IRS.
I second FreeTaxUSA! Used them the past 3 years with no issues. My returns always get accepted quickly and refunds come fast. Plus they're cheaper than TaxSlayer for most situations.
I'm dealing with a similar situation right now - filed in early February and still waiting. From what I've learned lurking in tax forums, divorce situations with kids are basically guaranteed to get extra scrutiny. The IRS has to verify that both parents aren't claiming the same children, which can take weeks or even months. One thing that helped me was setting up informed delivery with USPS so I could see if any IRS letters were coming before they actually arrived. Sometimes those verification letters get delayed or lost, and you don't want to miss the deadline to respond. Also, if you're really strapped for cash while waiting, some tax prep places offer refund advance loans, though the interest rates are pretty brutal. Might be worth looking into if you're facing late fees on bills.
The informed delivery tip is genius - I never thought of that! Just signed up and can already see there's actually an IRS letter coming tomorrow that I had no idea about. This could have saved me weeks of wondering what was going on. Quick question about those refund advance loans - do you know if they require your actual refund to be approved first, or can you get one while still in processing limbo like we are? I'm trying to avoid them if possible but my car payment is due next week and I'm getting nervous.
Sergio Neal
Don't overlook the safe harbor provisions! As a new freelancer, you can avoid penalties by paying either: - 90% of your current year tax - 100% of your prior year tax (110% if your income was over $150k) For first-year freelancers, using last year's tax liability is often the easiest method since you just look at your previous tax return. If you didn't owe any tax last year, you might not need to make estimated payments at all!
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Marina Hendrix
ā¢But what if my income this year will be way higher than last year? Last year I was a part-time student with minimal income. This year I'm expecting to make quite a bit more with freelancing.
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Sergio Neal
ā¢That's actually where the safe harbor provision helps you! If your previous year's tax liability was small, you can use that amount as your safe harbor target and avoid penalties even if you end up making significantly more this year. For example, if you only owed $2,000 in taxes last year, you could make quarterly payments totaling $2,000 for this year ($500 each quarter), and you wouldn't face underpayment penalties even if you end up owing $10,000 when you file. You'd still need to pay the remaining $8,000 when you file your return, but without penalties for underpayment.
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Savanna Franklin
One thing nobody mentioned - make sure you're tracking all your business expenses from day one! As a video editor, you can deduct portions of: - Computer equipment - Editing software subscriptions - External hard drives - Office space (even home office) - Internet costs These deductions can significantly reduce your taxable income and might even keep you under that $1000 threshold longer than expected!
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Juan Moreno
ā¢Is there a good app for tracking all these expenses? I'm terrible at keeping receipts.
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Hannah White
ā¢For expense tracking, I've been using Receipt Bank (now called Dext) which lets you just snap photos of receipts with your phone. QuickBooks Self-Employed is another solid option - it automatically categorizes transactions and has a mileage tracker too. Since you're in video production like the original poster, don't forget you can also deduct things like: - Camera equipment rentals - Stock footage/music licenses - Travel expenses to client locations - Even a portion of your phone bill if you use it for business The key is being consistent about tracking everything from the start - it's so much easier than trying to reconstruct everything at tax time!
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