This piece is part of my 2016–2026 archive migration. Some original formatting, content, and external links may be missing, changed, or not be optimized.
Unless you’re not tracking and lying, of course
Here’s the thing: First off, being audited isn’t the end of the world. Many tax firms will handle the audit for you. Secondly, your likelihood of being audited is extremely low – even if a tax software or your CPA tells you that your risk is high.
Beat the audit fear by tracking your expenses and logging your receipts.
As I continue educating myself about taxes, I continually learn more legal hacks that can help save on taxes – one of the most significant expenses for the average American.
If you’re an entrepreneur and also work a regular job, you might end up owing more in taxes than you’d like due to one or more of the following reasons:
Your side hustle income is not taxed.
Your side hustle income is high.
Your regular income is high.
Employee stock options.
In any case, you don’t need to dread filing your taxes at the end of the year because you think you’re going to owe a sh*t ton of money. Instead, get excited about filing your taxes because you’ve logged all of your business expenses for the year, which can offset your tax burden by a long shot.
The government rewards two types of people:
Big businesses.
Small businesses that create jobs.
Entrepreneurs that add to the economy.
Investors that help build new and old businesses.
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If you fall into one of these categories, there are many incentives the government will offer you – especially in taxes – to thank you for your economic contribution to society.
You can write off more than you think. Always triple-check multiple resources (e.g., books, articles, podcasts, and other reliable materials) to learn what you can and can’t write off. And once you genuinely understand the tax laws, you can get legally creative. Just ask yourself:
Is this expense directly related to my business?
If you’re a writer, the answer to that question is often yes, because life is content. Just remember, you can legally write off lots of stuff if you have the documentation and logical reasoning backing you.
In the case you are audited, you will survive – especially if you made an honest mistake. But if you’re concerned about overpaying in taxes, you need to start educating yourself about taxes to decrease your tax burden legally. Taxes will always be here, so it’s best to find a way to decrease your tax expense to keep more of what you earn.
This content is for informational purposes only — not professional advice. Consult a qualified professional before making any major decisions.