Blogging has been a boon, especially to freelancers and work-at-home folks who earn from writing, running, or designing blogs or any other blog-related activity that generates income. But one thing always worries us folks especially at certain times of the year–accounting. Or more particularly, accounting for taxes and other legal obligations.
This was the topic of a recent Ask Performancing feature I published, where I summarized some advice and suggestions from Performancing Hive. With the year ending, some folks are worried about how to pay for duties from income earned during the year. This would vary across countries and jurisdictions, of course, but the point is, whether you like it or not, you would have to face this problem one time or another.
Some bloggers and writers might file as self-employed, or as professionals. Some might start limited-liability corporations, which might be more beneficial, given that you get deductibles from capital expenditures and other expenses. Some bloggers might be employed by companies that specialize in content creation or online publishing. Some independent bloggers might rather sign up under umbrella services and act as contractors (which may be the case for those in the UK), for instance.
So how do you handle your blogging-related finances?