5 Expenses Small Business Owners Need to Track

Small business owners are often handling a variety of business functions including accounting and bookkeeping. With many frequent changes to IRS Tax Code it is challenging to keep track of the latest rules. At Accounting Services by ACP we offer a full range of accounting services including bookkeeping and QuickBooks classes to help you understand which expenses need to be tracked.

Here are five expenses small business owners need to track:

  1. Mileage Tracking: If you are claiming a standard mileage deduction, use a mileage tracking app on your smartphone. Download mileage into a spreadsheet at tax time. For most small business owners this is the best and easiest way to receive a tax deduction for travel.

  2. Office Space Expense: If you are renting an office space, the cost can be written off on taxes. If your business is based at home, a percentage of your home and associated expenses can be written off. Associated expenses can include a percentage of rent or mortgage based on the square footage of your office space, utilities, insurance and property taxes.

  3. Marketing: Business cards, brochures and other marketing collateral may be eligible expenses.

  4. Professional Association Fees: Networking groups, chambers of commerce and any professional association fees can be considered for deduction.

  5. Hardware, Software and Equipment: Computers, copiers, modems and other business-related hardware, software and equipment is eligible for deduction on your business taxes.

A simple way to track expenses and income is through QuickBooks. Accounting Services by ACP offers QuickBooks classes whether you want to learn how to use it yourself or understand how we can help you with your bookkeeping needs for small business.