Tax Deductions Every Small Business Owner Should Know About
May 30, 2025
Maximize your write-offs and minimize your tax bill with this essential list of deductions for freelancers, startups, and small businesses.
One of the best ways to reduce your business’s taxable income is to take advantage of legal deductions. The tax code can be intimidating, but missing out on deductions means leaving money on the table.
Here are the most valuable small business tax deductions you should track and claim.
🏠 1. Home Office Deduction
If you work from home, you may be eligible to deduct part of your rent, utilities, internet, and insurance.
- Must be a dedicated workspace
- Use simplified method ($5 per sq. ft) or actual expenses
🚗 2. Vehicle Expenses
Use your personal car for business purposes?
- Deduct either the standard mileage rate or actual expenses.
- Keep a detailed mileage log (apps like MileIQ help).
📦 3. Office Supplies & Equipment
From pens and printers to laptops and monitors, most work-related purchases are deductible.
- For equipment over $2,500, consider Section 179 depreciation.
📣 4. Marketing & Advertising
Every dollar spent on promoting your business — whether Facebook ads or business cards — is fully deductible.
- Includes: website hosting, graphic design, software tools
🧑💼 5. Professional Services
Fees paid to lawyers, accountants, consultants, or virtual assistants are 100% deductible as business services.
📚 6. Education & Training
Courses, books, or workshops that improve your business skills can be written off as professional development.
💳 Pro Tip: Use a Business Credit Card
- Keeps expenses organized
- Easier to track deductions
- Avoids mixing personal and business purchases
📁 Best Practices for Claiming Deductions
- Keep digital copies of receipts
- Log expenses in your accounting system as they happen
- Categorize everything properly for easy year-end reporting
Knowing what tax deductions you’re entitled to can make a huge difference in your bottom line. By staying organized year-round and tracking eligible expenses properly, you can legally lower your tax bill and reinvest those savings back into your business. Don’t wait until tax season — start documenting deductions now, use bookkeeping software to simplify the process, and consider working with a tax pro to maximize your return.
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If you run or manage a commercial construction business, you already know how complex project management can be. Between changing timelines, rising material costs, subcontractor management, and client expectations, there's no shortage of challenges to juggle. However, one factor directly impacts your profits, cash flow, and ability to grow—job costing. At Bulverde Business Solutions, we help construction companies in Bulverde, Spring Branch, San Antonio, New Braunfels, and surrounding areas protect their bottom line by improving their job costing systems. In this blog, we'll explain job costing, why it matters, and how getting it right can make or break your business. What Is Job Costing? Job costing is tracking all costs associated with a specific project. This includes: Labor – Employee hours, subcontractor fees, and payroll taxes. Materials – Lumber, concrete, electrical supplies, and other building materials. Equipment – Machinery rentals, maintenance, and fuel costs. Overhead – Administrative costs, insurance, and utilities. Unlike standard bookkeeping, job costing breaks down costs by project, providing a clear financial picture of each job's performance. Why is job costing so crucial for construction companies? 1. Better Budget Management You're guessing whether you're staying within budget without accurate job costing. Job costing gives you real-time insights to identify when projects are starting to exceed estimates. This allows you to make adjustments before small overages turn into significant losses. 2. More Accurate Bidding If you consistently lose money on jobs or underbid projects, it's likely because you don't have a clear picture of your true costs. By tracking actual costs over time, you build a data-driven foundation for more competitive and profitable bids in the future. 3. Improved Cash Flow Job costing helps you keep an eye on both accounts payable and accounts receivable for each project. This ensures you're getting paid on time and not overspending before client payments. Stronger cash flow helps you take on larger projects without unnecessary financial strain. 4. Stronger Financial Reporting When your books are organized by project, your year-end financial reports become more accurate. This makes tax filing easier and gives your CPA the information they need to help you minimize tax liabilities. 5. Informed Decision-Making Accurate job costing helps you make better business decisions, such as: Knowing when to hire or scale back staff. Identifying which projects or clients are most profitable. Deciding whether to invest in new equipment or services. How We Help Construction Companies with Job Costing At Bulverde Business Solutions, we specialize in helping construction businesses set up and maintain accurate job costing systems. Our services include: Software Integration: We use platforms like QuickBooks and Foundation to set up project-specific tracking. Ongoing Bookkeeping: We track all costs per job in real time, so you always know where you stand. WIP Reporting: Our Work in Progress (WIP) reports give you a snapshot of profitability and progress at any stage. AIA Billing Support: We help manage AIA billing to keep your cash flow steady and documentation in compliance. Lien Waiver Tracking: We manage lien waivers to ensure smooth payment processing and legal protection. Don't Let Hidden Costs Drain Your Profits Suppose you're tired of wondering where your money is going on projects or constantly chasing cash flow. In that case, it's time to get serious about job costing. Contact Bulverde Business Solutions today to schedule a consultation. We proudly serve construction companies throughout Bulverde, Spring Branch, San Antonio, New Braunfels, and beyond. Let us help you build smarter, bid better, and boost your profitability.
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