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Ask HN: Taxes and Bookkeeping for freelancers - What is your set-up?

1 points by mapster ↗ HN
In the US it is tax time, and as a freelancer (sole proprietor) I am looking to revamp my bookkeeping and tax methods. Currently I use no bookkeeping system and I figure my taxes at the end of the year, which is always tragic, realizing how much I need to pull out of savings. I want to smarten up and adopt a wiser method. Please share your set-up if you have one that is working well for you in a similar situation.

4 comments

[ 3.1 ms ] story [ 21.7 ms ] thread
andymoe
Start with a proper billing system either third party (I like fresh books) or the one built into QuickBooks. By built in I mean an add-on you have to pay extra for btw... Then you can keep it all straight and even give it to an accountant at the end of the year! I love me some accountants! (Attorneys too, I have never had either NOT save me money or headaches)

EDIT: Also, no html tags needed in posts here.

mapster
I will look into Quicken. As a sole proprietor in California, I simply use my social security number and schedule C of 1040. Is there a good argument for getting a business ID or even an LLC (aside for liability issues)?
andymoe
Not Quicken. QuickBooks. Quickbooks is what every accountant accepts as format.