cbrsmurf Posted July 8, 2013 Share Posted July 8, 2013 I work at 2 different FP/UC clinics as an independent contractor. Straight wage, no benefits. Besides gas ($200/month) and medical insurance ($66/month) is there anything significant to write off. Any financial tips to help me keep as much of my paycheck as possible? I've always been W2 prior to this and don't really have any experience with this stuff. Is it worth it forming my own corporation? Link to comment Share on other sites More sharing options...
rcdavis Posted July 9, 2013 Share Posted July 9, 2013 Get a good tax advisor. The 1099 rules are becoming quite strict: Do you control your schedule? Your own hours? Is there a " primary job" at which you are essentially full time? ( if so, gas and lodging and food allowances may only apply for the distance from your full time or principle job and the second job? Is either job greater than 75 miles from your primary home? Does your job cover your malpractice? And so on. The IRS, god bless their heart, is really beginning to look at IC status,and being very stingy in their interpretations. If you are, according to you accountant, eligible, then all reasonable professional fees: licenses, insurance, lab coats, journals, certifications, etc, plus some travel are deductible, You need to keep detailed mileage records, listing exact miles from point a to point ge for any job related travel The concept of a company car has pretty much gone by the wayside, but if you are a sub s or s corporation, then it is possible tat the corporation lease the car for professional use only, and those costs are also deductible . Good luck. Link to comment Share on other sites More sharing options...
UGoLong Posted July 9, 2013 Share Posted July 9, 2013 I was in business for myself for 12 years. All of your training, publications, computer (if used for business), Internet connection, communication devices, business mileage, insurance, tax prep, etc counts. You also have the ability to shelter income with what amounts to a personal 401(k) (sometimes called a unit K). The big question is if you really in business for yourself, as rcdavis asks. A good accountant (also deductible) would be a good start. Good luck. Link to comment Share on other sites More sharing options...
cbrsmurf Posted July 10, 2013 Author Share Posted July 10, 2013 thanks for the tips Link to comment Share on other sites More sharing options...
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