One of the smartest things you can do as a freelance writer is learn to save your receipts. When I first started freelancing full-time, I was dating an accountant, but not everyone is lucky enough to have a personal financial adviser to give them these tips! Saving your receipts, believe it or not, can save you hundreds of dollars on your taxes at the end of the year.

Ok, so you don’ t have to save every receipt. The receipt for that cute pair of shoes you purchased or the video game you wanted can go in the garbage can. Or can they? Did you review the shoes or video game for a blog? If so, they’re part of your business.

When you buy something for your business, such as review items, research material, plane tickets to writing-related events, office supplies, etc, it is considered a business expense. At the end of the year, you can subtract your business expenses from your total income, so essentially, you don’t have to pay taxes on that amount. You’ll be surprised how quickly the money adds up.

What qualifies for a business expense? For some pretty comprehensive lists, as well as more information about taxes and saving your receipts, check out the following websites:

• Ask the taxgirl: Freelance Deductions by taxgirl (Kelly Phillips Erb)
• 20 Tax Deductions for Freelancers by Deb Ng
• Easy to Forget Income Tax Deductions by Thursday Bram
• 10 Deductions Freelancers Can Make also by Thursday Bram
• Freelancers’ Tax Deductions List for PEGgers, Safreans by Tiffany Markman

Got a link? Leave a comment and I’ll add to this list of resources!

I know that it’s July right now, so we’re about as far from tax time as we can get, but not is not the time to forget to save your receipts. Saving them today will save you money tomorrow.

Image credit: Darren via sxc.hu