How should I save for taxes as a freelancer?
As a freelancer, it's crucial to set aside a portion of your income for taxes. A good rule of thumb is to save about 25-30% of your earnings.
What are some effective methods to save that money?
You can open a separate savings account specifically for taxes, automate transfers to it each month, or use budgeting apps to track your savings.
When should I start saving for taxes?
It's best to start saving as soon as you begin earning income. This way, you won't be caught off guard when tax season arrives.
What if I don't have enough saved by tax time?
If you find yourself short, consider setting up a payment plan with the IRS or looking into options for a tax extension.
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