3 BIG Reasons Freelance Writers Should Hire a CPA
Being a freelance writer has its perks for sure. You pretty much get the opportunity to accept only the projects you want and create your own work schedule, and being a freelance writer also puts you more in control of your own finances. However, being a freelance writer essentially means you are the owner, chief executive, and manager of your own business. Therefore, the financial aspects of your business as a whole can be a major headache. While hiring a certified public accountant, or CPA, may seem like an overshot, there are actually a few really good reasons why doing so could be one of the best decisions you ever make as a freelance writer.
Having a CPA leaves you more time for actual work
Every minute, hour, or day that is spent on tracking your finances, counting invoices, or gathering receipts is that much time you don;t have to work as a freelance writer. If you are just starting out as a freelancer, these small tasks may not seem like a big deal.However, as your client list grows and you start taking on more projects, it is easy to see how hiring a CPA to handle these mundane tasks on your behalf could be a great benefit.
Hiring a CPA means less of a headache when tax time rolls around
If there is one headache that comes along with being a freelancer of any type, it is your taxes. Because you are essentially the owner of your own business, this changes everything about both how you file your taxes and how you document for tax purposes through the year. Gone will be the days of simplified W-2s and EZ tax forms, and in will come complicated things like self-employment taxes, 1099s, and home-office deductions. Employing a CPA through the year will mean you have someone who can guide you to make financial decisions which will be worthwhile come tax time and filing your taxes will also be handled by the CPA as well.
Employing a CPA means retirement planning made easy
As the owner of your own business as a sole-proprietor, retirement programs are pretty much out of the question unless you create something on your own. A CPA can help you create a retirement plan, help you set up funding accounts, and even help you arrange a 401k account with mutual funds using minimal stock investments with a good return.
For more information, contact firms like Carmines Robbins & Company PLC.