Tax-Free Rental Income
Freelance Finance Fix
Are you aware you can rent out your home for tax-free income? That’s right—for freelancers, solopreneurs, and small business owners who love to travel, renting your property might be an excellent way to earn tax-free income. In this episode, Alex covers what the Augusta Rule is and how to take full advantage of renting your home for tax-free income, along with details about Section 280A. In this episode, you’ll also hear: How the Master’s Golf Tournament changed short term rental rules Tips for taking advantage of the Augusta Rule Potential benefits of...
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Tempted by High Interest CDs? Here's How to Protect Your Financial Future
Freelance Finance Fix
Have you noticed more banks enticing you with higher rates? Higher rates generally mean higher savings but there’s no guarantee to how long this seemingly win/win situation will actually last. In this episode, Alex shares why banks are offering high rates and why you should review your long term financial goals before making any changes to your current investments. In this episode, you’ll also hear: Why banks are pushing longer term investment offers Inflation as a benchmark for financial planning Long-term power of compounding and equity market’s growth ...
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Common Questions about Home Office Deductions
Freelance Finance Fix
Our last episode, “Are You Maximizing Your Home Office Deductions?”, focused on home office deductions and details about Form 8829 Expenses for Business Use of Your Home. Be sure to review IRS Publication 587 and make sure you're using the most advantageous calculation when determining the business use percentage of your home. In this episode, Alex answers the most common questions about home office deductions to ensure your claim is as legitimate as possible. In this episode, you’ll also hear: Which spaces in your home qualify for deductions ...
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Are You Maximizing Your Home Office Deductions?
Freelance Finance Fix
Although the April tax deadline has passed, now is a great time to review your return to ensure you’re maximizing your home office deductions. In this episode, Alex dives into home office deductions, different ways to compute your home office use, and what to know about Form 8829 Expenses for Business Use of Your Home. In this episode, you’ll also hear: What constitutes a business use area in the home Gross square footage and usable square footage calculations Getting the most out of your home office deduction Must-listen moments: [00:01:46] Based on a...
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Quarterly Tax Payments Simplified
Freelance Finance Fix
Our previous episode, “A Freelancer’s Guide to Quarterly Tax Payments,” covered the basics of estimated tax payments and avoiding underpayment penalties. In this episode, Alex discusses safe harbor provisions and determining your estimated tax payment. Be sure to check out Publication 505 by the IRS to learn more about estimated tax withholdings and safe harbor provisions. In this episode, you’ll also hear: Benefits of safe harbor provisions for non-W2 income earners 90% accuracy for estimated payments and paying 110% of prior year taxes Pro-tips for...
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A Freelancer’s Guide to Quarterly Tax Payments
Freelance Finance Fix
You might be mistaken if you’re a small business owner or freelancer and think you only have to pay the IRS once a year. Estimated tax payments only apply in certain states, so review your local tax laws to avoid any penalty. In this episode, Alex breaks down what estimated tax payments are, who has to pay them, and how to pay them on time, and shares some insight to keep clear of paying the IRS more than is absolutely necessary. In this episode, you’ll also hear: Avoiding underpayment penalties Pay-as-you-go tax and how taxes are remitted to the IRS Who...
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Most Common 529 Questions
Freelance Finance Fix
Our prior episode, “529 Plans are for More than Education” highlighted that the traditional 529 College Savings plans are set for big changes. While 529 accounts used to be where parents and grandparents invested money to fund the next generation's higher-level education costs like tuition, the Secure Act 2.0 includes provisions that if unused, this money can be rolled into a beneficiary’s Roth IRA. There are restrictions and rules that must be followed, but listen to the Freelance Finance Fix Episode 13 for all of the details. In this episode, Alex addresses 8 of the most common...
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How to Use a 529 College Savings Plan for More than Education
Freelance Finance Fix
Traditionally, 529 accounts have been an option in which savings could be accumulated and invested toward the purpose of funding a loved one’s education expenses. Money can be set aside in the 529 plan as a lump sum or over time, invested in the markets, and grow tax free. The real beauty and benefit of a 529 education savings plan is typically realized when the beneficiary uses the money and all its tax-free growth on qualified education expenses. But now, thanks to new legislation, the savings and growth from this investment can potentially be rolled into a Roth account. In...
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How Much Tax Would I Owe if I Sell My Home?
Freelance Finance Fix
If you’re planning to sell your primary residence or an investment property, you might qualify for certain options to get the most out of the transaction while saving money on your tax bill. In this episode, Alex details 5 important things to know about how selling your home impacts your taxes. In this episode, you’ll also hear: Understanding capital gains tax vs. ordinary income tax Benefits of Section 121 or a 1031 exchange Why it’s important to review your home’s title Must-listen moments: [00:02:30] If you have received any tax...
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10 Situations Where a Roth Conversion Doesn’t Make Sense
Freelance Finance Fix
Although Roth IRA conversions offer many financial benefits, they can also create financial woes if converted too soon or if tax filings aren’t managed properly. In this episode, Alex shares 10 scenarios where it’ll pay to think twice before executing a Roth conversion. In this episode, you’ll also hear: How Roth conversions impact income benefits and taxes Recognizing Roth conversions do not have a limited time window Why age doesn’t matter for Roth conversions Must-listen moments: [00:03:28] Often, a mistake with Roth conversions or...
info_outlineHosted by Alex M. Lynch CFA®, AWMA®, this show teaches six-figure freelancers and solopreneurs like you how to: Hack your money to further your financial independence, lower your tax bill, invest smarter, and optimize your finances. Freelance Finance Fix was created by money nerds who love researching, optimizing, and diving deep into all things financial.
We are passionate about helping freelancers find unique and exciting opportunities available to them that are not available to the traditional 9-5 crowd. So grab your favorite beverage and listen in for some money tips, all in the amount of time it takes to finish a cup of coffee!
In this episode, you’ll also hear:
- How being a freelancer takes skill and courage
- Why generic advice for the 9-5 crowd isn’t always for freelancers
- What to expect from the Freelance Finance Fix
Must-listen moments:
[00:00:30] Traditional business and money rules don't apply to you, and generic advice for 9-5ers isn't always right for you. After all, if you don't work a 9-5 job, and your money shouldn't either.
[00:01:17] Even simple things like Roth IRAs have different rules for freelancers.
[00:01:22] We at the Freelance Finance Fix are practicing financial advisors and have been working with freelancers and solopreneurs for decades, helping them tackle just about everything financially possible.
Find out more and snag our free downloads at www.FreelanceFinanceFix.com.
Follow Alex at https://www.linkedin.com/in/alexmlynch/
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