How To Track Your Blogging Income For Your Taxes

Not so long ago, no one had ever heard of a Blog. Today, the internet is full of millions of independent writers who share their experiences and knowledge on a worldwide platform.

Bloggers come in all shapes, sizes and can be found in any kind of niche. In many cases, bloggers are writing for pure enjoyment, but some are in it to make a bit of casual income.

If you are making money from your blog, it’s time to start thinking about your posts as a business venture. When it comes to tax season, you will be responsible for claiming any income you have made working online, even if it is minimal.

No one has the time or the patience to deal with an audit that could shut your channel or page down.

Running your blog like a business gives you the advantage of easily tracking when and where you are making money. You may not get regular check stubs but, that doesn’t mean that your blogging income doesn’t count.

Let’s take a look at a few easy ways to track your blogging income for tax season.

Stay Organized

Trying to track all of your incoming revenue from your Blog just once a year at tax time can be overwhelming and take a lot of time. If you are serious about your blog, you need to stay organized and start recording your figures when you begin making money.

Keep records, either on paper or digitally, each time you receive a payment or conduct a transaction. This will keep you on top of your bookkeeping. A weekly time slot in your schedule to update your books is a great way to keep track of your earnings.

Track Expenses

It doesn’t cost a fortune to get started with a Blog, but you will have regular expenses. When you file your taxes, it’s important to include all of your costs to offset your net income amount.

Keep track of how much you are spending on items like internet service, domain costs, online memberships and subscriptions, cell phone costs, and advertising.

Create A Monthly Spreadsheet

You don’t need to use an accounting software program to track something as straightforward as your blog income. You can create a simple and easy spreadsheet on your computer that can allow you to record your income when you receive it.

You should include columns for the name of your income source, a net amount, and the date received. Separate your spreadsheet into individual months and total your entries once for each period.

Accounts Receivable

If you want to keep track of all income that comes from your blog, you need to track your accounts receivable. This is money that is owed to you for services, but that you have not yet received. This method will help you stay on top of if you have multiple income streams from your blog who hasn’t paid you yet.

At the end of each month, you can act quickly to contact any outstanding accounts.

Filing Taxes

If you have stayed organized each month and properly recorded all of your received income, your taxes should be a breeze. You will only need to add up your monthly totals and plug in the numbers on your tax forms.

Blogging can be a great joy for those that love to share their knowledge and experiences. Get organized and stay on top of the money that you earn to help make filing your taxes an easy experience.