What Can I Write Off as a Personal Assistant in Real Estate? Tax Deductions for Independent Contractors

As someone who's been working as an independent contractor in real estate for years, I can help you navigate these write-offs! Since you're a 1099 worker, you'll report your income and expenses on Schedule C. Your mileage tracking is smart - you can deduct business miles at the standard mileage rate (currently 67 cents per mile for 2024), or track actual vehicle expenses if that's more beneficial. For your phone and internet, you can deduct the percentage used for business purposes (keep a log for a few weeks to establish a pattern). Office supplies are 100% deductible when used for work. For home office deductions, you need a space used exclusively for business. If you have that, you can deduct a portion of your rent/mortgage, utilities, etc. based on the percentage of your home used for business. Coffee shop purchases are tricky - the coffee itself isn't deductible as a personal expense, but if you're meeting clients there, it could qualify as a business meal (50% deductible). Professional attire generally isn't deductible unless it's specialized clothing not suitable for everyday wear (like uniforms or protective gear). Make sure to keep detailed records of everything - receipts, purpose of expenses, and business connection!

I started using taxr.ai for my independent contractor taxes last year and it was honestly a game-changer. I'm also a personal assistant for multiple clients (not in real estate, but similar situation). I was missing SO MANY deductions before! I uploaded my bank statements and receipts to https://taxr.ai and it automatically identified a bunch of business expenses I hadn't even considered - like professional subscriptions, software, even portions of my car insurance. It also helped me properly categorize everything for Schedule C which made filing so much easier. The best part was it flagged potential audit risks and showed me exactly what documentation I needed to keep for each deduction. Really gave me peace of mind since I was always paranoid about claiming too much.

Just wanted to follow up - I decided to try taxr.ai after all and it's actually legit! I was skeptical because I've been burned by tax "solutions" before, but this one impressed me. It found several deductions I'd been missing as a 1099 contractor, especially around my home office setup and tech expenses. The documentation guidance was super helpful - I never knew exactly what records to keep before. Now I have everything organized by category with notes about why each expense qualifies as business-related. My accountant was even impressed with how well-organized everything was! If you're working as an independent contractor for that real estate broker, I'd definitely recommend giving it a shot. Saved me way more than I expected.

If you're trying to contact the IRS to get clarity on specific deductions, good luck... I spent WEEKS trying to get someone on the phone about my independent contractor questions last year. Finally discovered https://claimyr.com and was talking to an actual IRS agent in less than an hour! You can see how it works here: https://youtu.be/_kiP6q8DX5c As an independent contractor myself, I had questions about home office deductions and vehicle expenses that weren't clear from the IRS website. The agent was able to confirm exactly what documentation I needed to keep and walked me through some gray areas specific to my situation. Saved me from potentially claiming deductions incorrectly.

I need to admit I was completely wrong about Claimyr. After posting that skeptical comment, I decided to try it anyway because I was desperate to get an answer about my 1099 deductions before filing. It actually worked exactly as described. I got a call back in about 40 minutes connecting me to an IRS representative who answered all my questions about proper documentation for my home office and vehicle deductions as an independent contractor. The agent confirmed that my approach to calculating the business percentage of my cell phone and internet was correct, and clarified when client meals can be 50% deductible versus when they're personal expenses. This clarity was worth every penny rather than guessing and risking an audit. Sorry for calling it a scam before trying it! Sometimes good services actually exist!

Don't forget about quarterly estimated tax payments! This was my biggest shock when I started as an independent contractor. Since you don't have taxes withheld like with W-2 employment, you need to make these payments yourself. For federal taxes, you'll need to pay estimated taxes quarterly if you expect to owe $1,000 or more in taxes. Plus your state might have its own requirements. I got hit with penalties my first year because nobody warned me about this!

Has anyone used QuickBooks Self-Employed for tracking expenses? My accountant recommended it, but wondering if it's worth the monthly fee.

Great question about personal assistant deductions! I've been doing bookkeeping for several independent contractors in real estate, and there are a few additional deductions you might be missing. Since you mentioned driving to properties and running errands, make sure you're tracking ALL business miles - not just client meetings but trips to the post office, bank deposits, picking up supplies, etc. Many people only track the obvious trips. For your phone, if you have one line used for both business and personal, you can deduct the business percentage. But if you can get a separate business line, that's 100% deductible and often worth it for the clean record-keeping. One thing people often overlook: professional development expenses. Any courses, certifications, or training related to real estate or admin work are fully deductible. Same with professional memberships or subscriptions to industry publications. Also consider equipment depreciation if you bought a computer, printer, or other office equipment primarily for work. You can either deduct the full cost in the first year (Section 179) or depreciate it over several years. Keep tracking everything in a dedicated business account if possible - makes record-keeping so much cleaner come tax time!

One deduction that's often overlooked for personal assistants in real estate is professional liability insurance! If you're handling sensitive client information or have access to property details, many real estate agents require their assistants to carry E&O (Errors and Omissions) insurance. This is 100% deductible as a business expense. Also, since you mentioned working from cafes - while the coffee itself isn't deductible, if you're buying food/drinks while conducting actual business (like client calls or work meetings), those can qualify as business meals at 50% deduction. Just make sure to note the business purpose on your receipt. For your car expenses, don't forget that parking fees and tolls for business trips are fully deductible on top of your mileage. And if you're using your personal vehicle regularly for work, consider tracking actual expenses (gas, maintenance, insurance percentage) vs. standard mileage rate - sometimes actual expenses work out better, especially if you drive an older, less fuel-efficient vehicle. One last tip: if your broker requires you to maintain a professional appearance for showings, while regular business attire isn't deductible, any special cleaning/dry cleaning costs for clothes worn exclusively during business activities can sometimes qualify. Keep those receipts and notes about the business purpose!