Freelancers can deduct 50+ business expenses including home office, equipment, software, travel, meals, insurance, and retirement contributions. Track every expense—each $1,000 in deductions saves $250-370 in taxes depending on your bracket.
| Category | Typical Annual Deduction | Tax Savings (24% bracket) |
|---|---|---|
| Home office | $1,500-6,000 | $360-1,440 |
| Equipment | $1,000-5,000 | $240-1,200 |
| Software | $500-2,000 | $120-480 |
| Travel | $1,000-10,000 | $240-2,400 |
| Health insurance | $5,000-10,000 | $1,200-2,400 |
| Retirement | $10,000-30,000 | $2,400-7,200 |
| Total | $19,000-63,000 | $4,560-15,120 |
Deduct the business portion. Keep a log to justify the percentage.
Yes, deduct the business percentage. If 80% business use, deduct 80% of cost.
Receipts, bank statements, credit card statements, and a log showing business purpose.
Last updated: March 2026