#freelance
Financial management and tax guidance for freelancers
HoneyBook wins on proposal-to-paid speed, Dubsado on workflow automation, Bonsai on contracts plus tax — pick by billing model, team size, and setup budget.
Fixed fee puts scope risk on you; time and materials puts it on the client — a not-to-exceed cap splits the difference. Match the model to scope certainty.
IRS rules tax income when it is available, not when you cash the check — December bonuses and uncashed checks count for this year.
Wave offers the fullest free core, ZipBooks the simplest start, and Akaunting free self-hosted books — compare invoicing, bank feeds, and payroll costs.
An MSA holds the relationship terms — payment, IP, liability — while each SOW defines one project's scope, milestones, and fees.
Cap liability at fees paid, assign IP only on full payment, and require a 30-50% deposit — the consulting-agreement clauses that protect freelancers.
AIPB's CB is the budget self-study path with proctored exams; NACPB's CPB license costs more with coursework. Pick by budget, background, and learning style.
The IRS home office safe harbor pays $5 per square foot, max $1,500 — take it when your housing costs run under $5 per foot; otherwise run actual expenses.
Tech E&O covers failed work, cyber covers breaches, media covers published content — tech firms need the first two paired, ideally from one carrier.
Divide fixed costs by contribution margin per billable hour to get your break-even — then test it against realistic 65–70% utilization before you quote.
Your billable rate must cover income, overhead, and the 15.3% IRS self-employment tax across only the hours you invoice — then add margin.
The Copyright Claims Board hears copyright claims up to $30,000 entirely online for $100 in fees — but you need a registration application to file.
