Key takeaways
- Freelancers file as 1099 / self-employed, so business expenses are deductible on Schedule C.
- Deductions cut both income tax and the 15.3% self-employment tax.
- The biggest write-offs for freelancers are listed below, with what each covers.
- You need receipts and a mileage log to claim them.
Tax write-offs for freelancers
Here are the deductions freelancers most commonly claim. Each one lowers your net profit, and therefore your tax:
| Deduction | What it covers |
|---|---|
| Home office | A dedicated workspace, by square footage or the simplified method. |
| Vehicle and mileage | Business driving at the IRS standard rate, plus tolls and parking. |
| Software and subscriptions | Tools, apps, hosting, and AI subscriptions for your work. |
| Phone and internet | The business-use share of your phone and connection. |
| Supplies and equipment | Computers, gear, and consumables used for the business. |
| Business meals | Generally 50 percent deductible when there is a business purpose. |
| Marketing and website | Ads, your site, and promotional costs. |
| Professional services | Legal, accounting, and bookkeeping fees. |
| Health insurance | Self-employed health insurance premiums (on Schedule 1). |
| Retirement contributions | SEP-IRA or Solo 401(k) contributions reduce taxable income. |
The freelancer deductions worth the most
Four levers move the needle most: a home office (a percentage of your rent and utilities), business mileage at the IRS rate, self-employed retirement contributions to a SEP-IRA or Solo 401(k), and self-employed health insurance premiums. On top of your everyday expenses, these four commonly remove thousands from taxable income, so make sure none are missed.
Do not forget the QBI deduction
Most freelancers can also take the Qualified Business Income (QBI) deduction, up to 20 percent of net business income, on their Form 1040, in addition to their regular expenses. It is taken after your Schedule C, so it is easy to overlook when filing by hand but is one of the largest write-offs available.
Turn freelancers deductions into tax savings
Every dollar you deduct lowers both your income tax and your 15.3 percent self-employment tax, so consistently tracking the write-offs above is what turns the list into real money. You can only deduct what you can prove, so capture receipts and miles as they happen.
See what these deductions save you with our free calculators, then let NeoReceipt make sure you capture every one.