Taxes and Expenses

3 Most Common Reasons You’re Undercharging as an Independent Consultant (and How to Overcome Them)

By Melisa Liberman

If you’re an independent consultant, chances are, you’re undercharging in some way. It’s a common issue among independent consultants, and it can be tough to overcome. I work directly with independent business owners, helping them increase their revenue while working less. When working with my clients, we almost always find: pockets of their business where…

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Section 199A Deduction: How it Impacts Small Businesses

Section 199A Deduction: How it Impacts Small Businesses

By MBO Partners

In late 2017, President Trump signed into law the Tax Cuts and Jobs Act (TCJA), the biggest overhaul of the U.S. tax code in more than 30 years. Today, the IRS is working on implementing the TCJA. One of the major changes in the law is, as described below, a deduction for certain “qualified business…

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How to Estimate Your Tax Returns as an Independent Contractor

How to Estimate Your Tax Returns as an Independent Contractor

By MBO Partners

Estimating your tax returns as an independent contractor is an important part of financial business management. If your net-earnings from self-employment are more than $400, you likely need to file an annual return and pay estimated taxes quarterly. Filing your annual tax return is pretty straightforward. Use Schedule C—this is where you will report your…

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Filing Self Employed Taxes: What You Need

By MBO Partners

Independent business owners file taxes differently than traditional, W-2 employees. If this is your first time managing taxes as an independent contractor, don’t worry. It may feel a bit complicated at first but you’ll get the hang of it soon enough! Below, we answer all your questions about paying taxes as a self-employed professional. What…

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Top 6 Tax Write Offs for Self Employed Professionals

By MBO Partners

The ability to manage your business expenses is not just good for your company, it’s also a good income strategy as an independent professional. As a business of one, you will incur fixed costs that cannot be billed back to clients. You’ll also need to handle expenses such as health care, retirement funds, and other…

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Filing Independent Contractor Taxes: 4 Best Practices

By MBO Partners

Filing taxes as an independent contractor can be a tricky road to navigate. When you work as an employee, your employer is required to withhold federal income tax as well as Social Security and Medicare taxes from your payroll check, but as an independent you’re on the hook to do this yourself. When you work…

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9 Self-Employed Tax Deductions You May Overlooking

By MBO Partners

As an independent professional, properly managing your expenses is not just good business, it’s also a good income strategy. As a business-of-one, you will likely incur fixed costs that can’t be billed back to a client. You may also need to take care of expenses such as health care and retirement. Each of these fixed or variable costs…

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8 Business Startup Costs for Independent Professionals

By MBO Partners

Starting your own business is both exciting and scary. But the more you prepare, the higher your likelihood of success will be. There’s a lot to consider when you go out on your own, from determining the services you’ll offer to how you’ll incorporate your business, where you’ll work, and how you’ll find clients. Below,…

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Tax Implications of Becoming an Independent Contractor: What You Need to Know

By MBO Partners

If you’re ready to take the leap and start your career as an independent professional, there are a few key steps to take to build a successful business. Understanding the tax implications of becoming an independent contractor is an important part of your financial preparation. While your employer was required to withhold federal income, Social…

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4 Ways to Get Your Small Business Ready For Tax Season

By MBO Partners

In response to COVID-19 (coronavirus), the 2019 income tax filing and payment deadlines for all taxpayers who typically pay their Federal income taxes on April 15, 2020 have been extended until July 15 of this year. This tax filing and payment relief also extends to estimated tax payments for 2020 that would typically be due…

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