With just under a month remaining to file taxes, Cheddar News is focusing on freelancers and wants to equip them with advice to optimize their tax refunds or the amount they owe the Government.

Matthew Frankel, a Certified Financial Planner and writer for the Motley Fool, visited Cheddar News to discuss what freelancers may expect at filing time and how they can better plan in future filing years to avoid paying astronomical amounts to the Government.

“Freelancers are more accountable than the ordinary person for keeping care of their own taxes, which includes setting aside money,” he explained. It’s especially important for a new freelancer to understand the need to set aside some funds for emergencies and long-term goals like buying a house.

Since the beginning of the epidemic, the job market landscape in the United States has changed. In 2018, 39 percent of US workers were independent contractors, a three percent increase from 2021.

Frankel remarked that there are several breaks accessible to freelance employees that the general public is not allowed to take advantage of. They include home office deductions, retirement savings, self-employed health insurance, and the use of a personal vehicle for work.

“In all honesty, the greatest error I see is individuals not asking for assistance when they need it. Not everyone is a certified financial advisor, tax attorney, or other similar professionals,” he said. “Disorganization is unquestionably a major concern. Early in my profession, I learned the hard way to retain critical records.”