15 May Bookkeeping and accounting are one of many hurdles freelancers and self employed can face
Bookkeeping, accounting and tax preparation tips for freelancers
In Murfreesboro and the Nashville area, freelancers and self employed individuals in many fields are entering the workplace at a steady pace. While this employment status is non-traditional in nature, it is becoming more common everyday. With that in mind, there are several situations freelancers and self employed individuals may face that a traditional salary employee may not encounter on a daily basis.
First of all, bookkeeping and accounting can be a tiresome task. In the freelancer world, people tend to be experts at what they do, whether it be photography, video, web or another unique service. In the same way, a bookkeeping professional can handle the accounting portion and save most people time and money, which are both equally important. While there are many solutions available, hiring a bookkeeping professional is cost-effective and will provide one-on-one expertise.
In many cases, a situation such as bookkeeping may be considered a non-billable activity. The owner may spend time on it because it is necessary and vital to the business, but it is not a revenue generator such as completing billable work or searching for new clients.
A bookkeeping professional or accounting company will also be a solid choice for handling tax issues. Understanding the ins and outs of the tax system is what they do best and their advice can help navigate through issues such as mileage, meals and other miscellaneous items.
When entering the world of freelance and self employment, the first few years may be the most difficult. But if several business processes are in place during the early years, the daily operation of running a business will not be as difficult and you should feel at ease on the financial side.