April 15 is 17 days away. If you're a freelancer who hasn't filed yet, here's what to do right now.
1. File an Extension if You Need More Time
File Form 4868 — it's free, takes 5 minutes, gives you until October 15. But you still need to estimate and pay what you owe by April 15.
An extension reduces your penalty from 5%/month (failure to file) to 0.5%/month (failure to pay). Always file it.
2. The QBI Deduction
The Qualified Business Income deduction lets you deduct up to 20% of your net business income. If you made $80K freelancing, that's potentially $16,000 off your taxable income.
Most freelancers qualify automatically if taxable income is under $191,950 (single).
3. Home Office Deduction
Simplified method: $5 per square foot, up to 300 sq ft = $1,500. Zero record-keeping needed. You just need a space used regularly and exclusively for business.
4. Commonly Missed Deductions
- Internet and phone bills (business-use percentage)
- Software subscriptions (Adobe, Canva, Slack, etc.)
- Health insurance premiums (100% deductible if self-employed)
- Retirement contributions (SEP-IRA deductible until filing deadline)
- Bad debts (client ghosted you after invoicing? Write it off)
- Mileage: 70 cents/mile for 2025
5. Self-Employment Tax
If you earned $400+ freelancing, you owe 15.3% SE tax on top of income tax. Quick estimate: net income × 0.9235 × 0.153.
A freelancer earning $60K owes ~$8,478 in SE tax alone.
Free Tax Calculator
I built a quick calculator that handles income tax, SE tax, and the QBI deduction for freelancers:
Free Freelancer Tax Calculator
Estimate your taxes in 60 seconds.
Not tax advice. Consult a qualified tax professional for your specific situation.
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