From Side Hustle to CEO: 10 Tax Write-Offs Every Solo Entrepreneur Needs to Know
Running your own business — even if it started as a “side hustle” — means you’re not just working for extra cash anymore. You’re a solo entrepreneur.
And here’s the truth: entrepreneurs who don’t track and claim their expenses are basically donating to the IRS.
The IRS allows you to deduct “ordinary and necessary” business expenses (IRS Pub. 535). What’s that mean? If you need it to make money, chances are it’s deductible.
But here’s the kicker — I see solo entrepreneurs leaving thousands of dollars unclaimed every year because they don’t know what qualifies. Let’s change that.
Here are 10 Write Offs You Should Be Taking Advantage of:
1. Home Office Deduction
That spare bedroom or desk corner could be worth serious tax savings; just make sure it’s dedicated space for your business.
Your workspace isn’t just where you hustle — it’s a tax break waiting to be claimed.
Example: Take Sarah, a lash tech who booked clients online from her apartment. Once we set up her home office deduction properly, she saved $1,200 in one year — just for working where she already was.
Pro Tip: Dislike math? Use the simplified method — $5 per sq. ft, up to 300 sq. ft.
2. Mileage & Vehicle Expenses
Every mile counts. Client meetings, supply runs, even quick trips to FedEx. For 2025, the IRS rate is 70¢ per mile.
Every mile you don’t track is cash left on the road.
👉 One client, a rideshare driver, thought “ballpark guessing” was enough. After we tracked his miles correctly, his deduction jumped from $1,800 to $9,000. Same driving, better records. I recommend HURDLR and MileIQ for tracking mileage.
3. Startup Costs
Launching something new? The IRS lets you deduct up to $5,000 in startup expenses right away.
👉 A client starting a T-shirt brand wrote off design software, LLC fees, and his launch ads. He thought they “didn’t count.” They did — and saved him hundreds. Your launch story is also your tax-saving story, so claim it.
4. Equipment & Supplies
Your laptop, camera, or ring light aren’t just tools — they’re deductions. Even that mountain of Amazon boxes full of shipping tape counts.
Oh and those receipts, they aren’t clutter — they’re dollar bills waiting to be counted.
5. Software & Subscriptions
Canva, QuickBooks, Zoom, Shopify — if you pay for it to run your hustle, it’s deductible.
👉 One client thought $12 a month for Canva was “too small” to matter. Add up six subscriptions over a year? That was $1,100 back in her pocket.
6. Marketing & Advertising
Your hustle doesn’t grow if no one knows it exists. Business cards, boosted posts, a website domain — all 100% deductible.
Every dollar you spend getting noticed is a dollar you don’t owe the IRS.
7. Phone & Internet
If your phone doubles as your office, so does your bill. Deduct the percentage tied to business use.
8. Professional Services
Tax prep, bookkeeping, legal help, business coaching — all deductible. Sometimes paying the pros saves you more than doing it alone.
Real Story — A business owner hired me to clean up her books. The fee was deductible, but the $3,500 in missed write-offs we uncovered made it priceless. To be honest, this happens more often than not.
9. Meals (50% Deductible)
Coffee with a client? Lunch with a collaborator? That’s 50% deductible if it’s tied to business.
So remember, your Friday DoorDash doesn’t count… unless you’re pitching the delivery driver on becoming your next client.
10. Education & Training
Workshops, certifications, courses, books — if it makes you better at your hustle, it’s deductible. The IRS rewards you for investing in yourself. Take advantage of it and make sure it’s something you do every year.
Think Big Picture
Your business expenses aren’t just money out — they’re opportunities to cut your tax bill and keep more of what you earn.
But remember: the IRS only rewards what you track, document, and claim correctly.
👉 We’ve built 50+ industry-specific business expense checklists — from beauty pros to contractors to creatives — designed to jog your memory and help you claim every deduction you deserve.
Contact us today 📩 if you’d like a checklist for your business type. It’s the easiest way to stop second-guessing and start saving.
✅ Your Next Step
Don’t guess what counts. Let’s:
Set up your hustle or LLC the right way
Build a simple system to track deductions automatically
Create a tax strategy designed to maximize savings for solo entrepreneurs
👉 Book your FREE consultation or join our 2025 Tax Season Waitlist today
⚡️ DID YOU KNOW? Every client return we prepare comes with audit protection — so you can grow your hustle with confidence instead of IRS anxiety.
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1. Do I need to make a profit to claim deductions?
No, but the IRS requires an intent to profit. A consistent pattern of losses may trigger hobby loss rules.2. Can I deduct expenses if I don’t have an LLC?
Yes—sole proprietors can deduct expenses on Schedule C. An LLC is optional but can add benefits.3. How do I prove expenses?
Keep receipts, invoices, and bank/credit card statements. The IRS expects clear records.4. Can I deduct part of my rent without a home office?
No—only if you qualify under the exclusive-use home office rules.5. What’s the easiest way to track write-offs?
Start with a simple spreadsheet or bookkeeping app—and keep personal and business spending separate.