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A blog to help freelancers with taxes - Collective

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Tax savings

Guides

The Freelance Designer’s Tax Survival Guide: Keep More of What You Earn

Freelance design taxes come down to a few habits: know what you owe, set money aside as you…

Oct 26, 2026 · 12 min read
Blog

S Corp Pros and Cons: Is It Worth It for Self-Employed Owners?

Real tax savings come with real responsibilities. Here’s what an S Corp actually involves, and how to run…

Oct 15, 2026 · 10 min read
S Corp Articles

Is an S Corp Worth It? The Full Income Breakeven Table (2026)

Is an S Corp worth it at your income? See the full breakeven table from $40K to $300K+,…

Sep 11, 2026 · 3 min read
S Corp Articles

How to Reduce Self-Employment Tax With an S Corp in 2026

If you’re self-employed, roughly 15.3% of your income is going straight to a tax that most people don’t…

Sep 4, 2026 · 10 min read
Tax Tips

High-Impact Ways to Reinvest Your Tax Refund Into Your Business

A tax refund feels like found money. It isn’t. It means you overpaid throughout the year and the…

Apr 30, 2026 · 4 min read
Blog

Is an S Corp Worth It at $100K in Business Profit?

Earning $100K in business profit? Here's how the S Corp tax savings work, what conditions need to be…

Apr 28, 2026 · 5 min read
Blog

S Corp Distributions Explained: How to Pay Yourself Tax-Efficiently

An S Corp distribution is a share of your business’s profit that you take out as an owner…

Nov 9, 2023 · 6 min read
Blog

Self-Employed Retirement Plans: Which is the Best for You?

When you work for yourself, no one is automatically setting money aside for your retirement. That responsibility is…

Aug 10, 2020 · 7 min read
Blog

Should I Pay Someone to Do My Self-Employed Taxes? Here’s How to Know

It’s a DIY world out there, with many small-business owners handling much of the work that bigger corporations…

Apr 24, 2020 · 5 min read
Blog

5 Self-Employed Tax Mistakes that Cost You Big Time

Raise your hand if you’d rather host a luncheon with Pennywise the clown than deal with your self-employed…

Apr 3, 2020 · 7 min read
Blog

7 Things You Need to Do to Prepare for Your Self-Employed Taxes

It’s tax season, and you know what that means: doomsday is upon us! The earth is cracking, fire…

Jan 27, 2020 · 11 min read
Blog

How to File your Freelance Taxes (and Save Money)

You’re a freelancer, getting stuff done, capturing new leads, and even finding time to post the occasional selfie…

Apr 7, 2019 · 16 min read
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First, tell us about your business

Net profit = Total revenue - total expenses

  1. Find total revenue. Add up all money your business earned from sales of goods or services during the year.
  2. Subtract your expenses. Deduct all business costs like supplies, rent, utilities, software, contractor payments, and loan interest.

An estimate is fine, you don't need exact figures.

W2 employees are people on your payroll

You withhold income tax, Social Security, and Medicare from their paychecks, and they get a W-2 form from you at the end of the year.

Don't count yourself (even if you pay yourself a salary) or 1099 contractors and freelancers.

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We are experts in the unique needs and challenges of self-employed people and know that our confidence gives others confidence, too. Reach out to say hello and join our team.

We are experts in the unique needs and challenges of self-employed people and know that our confidence gives others confidence, too. Reach out to say hello and join our team.

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Collective provides a suite of tools, back-office support, and general information. Our services are not intended as tax, legal, or professional advice.

* Savings estimates reflect the average 2023 federal self-employment (SE) tax savings for Collective members with an S Corp tax election, based on business profits that would've otherwise been subject to SE tax. Actual savings will vary based on individual circumstances.

** Based on data sourced from Shopify blog, QBO Essentials, QBO Live, Gusto, Taxfyle, Intuit "Tax Pro" Research, LegalZoom and JustAnswer.com as of August 2025.

† Individual tax return packages are billed as an annual, one-time add-on fee.

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