Working from home can save you a small fortune on petrol, office rent fees, travel cards and more. However there are some outgoing costs involved when working from home, but you can claim tax back on some of these expenditures.
In this blog post we talk about just some of the expenses that you can claim when working from home. However, as with everything accounting – if in doubt ask! Give us a call to check if you’re not sure what you can claim, attend one of our workshops or book a 1-2-1 with one of our team.
If you are spending time emailing potential clients, searching for dream clients online, advertising your business on social media or similar then your internet can be claimed back. You need to work out roughly how much time you spend doing business online. You can then divide your total internet bill accordingly.
Think about the things you are using in your home office. Things like your laptop, computer, printer and similar are all items that you can claim back for. If you have paid money for these items and use them for business then you can claim. Even if you purchased these items before you set up your business they can be claimed for. It is known as a ‘pre-trade expense’.
Your Gas and Electricity
If you didn’t have any electric in your home you couldn’t turn on the light in the office or the computer to work on. Similarly to the way you work out your business internet usage, you need to do the same for your gas and electricity bill. You need to work out how long your business is benefiting from the usage of electric or gas each day. This can then be claimed back.
Your Phone Bill
The simplest way to expense work calls is to have a separate phone for work. However if you prefer to only have one phone to carry around then make sure you log how much time on your phone is business and how much is pleasure. If you have billable hours for clients, this will be easy to track and log.
Networking is a great way to get your business and brand out there. However, it can be costly!
If you are attending paid for networking events, parking, buying lunch there, driving there or using public transport make sure you keep a record of it and keep your receipts. Keep track of every networking expenditure because they will be tax deductible.
These are just some of the many things you can claim back for when working from home. If you’d like to know more then give us a call. We are qualified accountants specialising in self-employed business accounts. We will help ensure you claim for all the right things!
Phone – 07874 076599