Home Office Tips

Home Office Tips

You've decided to start a home based business. Now your next
important step is to decide where to place your home office. You
decide to place the home office in a corner of your bedroom. Or
in the corner of a dinning room. Maybe even the family room
surrounded by the kid's huge toy collection.

You reason, it's better than no office at all. Besides it
takes up a small space and cost almost zero to set up.

Wrong...Wrong...Wrong!

If you operate your home office out of a room primarily used for
another purpose you are making an enormous mistake.

A friend admits her first home office was a little nook in the
corner of her den facing a noisy street. After constant
interruptions and street noise she relocated her home office to
an unused secluded spare bedroom. A very smart move on her part!
The move increased her production ten fold.

Most experienced home office workers suggest you place your
home office in a separate area used primarily for this
function. This will entitle the business owner (you) to a nice
little tax benefit.

If your home office meets "Tax Qualifications" you might easily
deduct everything from furniture purchased to office supplies.

Once again: You must remember to qualify for these deductions
your home office must be a separate room used only to operate
your home based business.

It should not be a room used for extra storage, or for the kids
to gather after school or a guest bedroom.

Here's a few more deductions you might qualify for under current
tax regulations.

-Your office supplies
-Supplies used to clean your office
-Equipment depreciation
-Lease payments on equipment
-Rental fees on equipment
-Equipment repairs
-Business telephone line
-Business manuals
-Business training/education

Note: for up to date tax regulations visit the
IRS web-site online.

And there's a few other very good reason why your home office
should be a separate space. If your business involves personal
contact with customers you should never ever greet
them in a messy bedroom/office. Think of the first impression
you will make on your clients!

Not a very professional image!

And separating your personal and business affairs serves to
boost productivity. And puts friends and family on notice you
are serious about your business and discourage frequent
interuptions about unimportant matters.



(C)2006-07 B.B. Lee