Self-Employed Tax Deductions
Every Deduction You Qualify For in 2026

Self-employed people are the most over-taxed group in America because most do not claim everything they are entitled to. Here is the complete list.

The Complete Self-Employed Deduction Checklist

Home Office

$5/sq ft simplified or actual home expenses x business %. Dedicated space used exclusively for business qualifies.

Vehicle Mileage

67 cents/mile (2024). Client meetings, site visits, supply runs, post office. Keep a log — this is often the second biggest deduction.

Health Insurance Premiums

100% deductible above the line for you, spouse, and dependents. Reduces both income tax and self-employment tax.

SEP-IRA / Solo 401(k)

SEP-IRA: up to $66,000 (2024). Solo 401(k): up to $69,000. Every dollar contributed is fully deductible.

Qualified Business Income (QBI)

Up to 20% of qualified business income. Complex rules — most software calculates this incorrectly.

Business Equipment

Section 179 lets you deduct the full cost in year of purchase. Computers, cameras, tools, machinery.

Phone & Internet

Business-use percentage of phone and internet bills. 70% business use = 70% deductible.

Professional Development

Courses, books, certifications, coaching, conferences related to your business — fully deductible.

Contractor Payments

Payments to subcontractors are deductible. Issue 1099-NEC to anyone paid $600+ during the year.

Marketing & Advertising

Website, ads, business cards, photography, social media tools, and any promotion expense.

Professional Services

Legal fees, accounting fees, and professional memberships directly related to your business.

Business Travel & Meals

Business travel 100% deductible. Business meals 50% deductible with proper documentation.

The 3 Biggest Missed Deductions for Self-Employed

Frequently Asked Questions

What is the home office deduction for self-employed?
Use part of your home exclusively for business and deduct $5/sq ft (up to 300 sq ft) via simplified method, or actual home expenses multiplied by the office percentage. We calculate both and use the larger.
Can I deduct my vehicle?
Yes. 67 cents/mile (2024) using standard mileage rate, or actual vehicle expenses times business use percentage.
What is the SEP-IRA limit for 2024?
Up to 25% of net self-employment income, maximum $66,000. Fully deductible. The single most powerful tax reducer for high-earning self-employed individuals.
What is the self-employed health insurance deduction?
100% of premiums for yourself, spouse, and dependents — above-the-line deduction that reduces both income and self-employment tax.

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