When it comes to understanding self-employed tax deductions checklist 2025, knowing the IRS rules is essential. Being self-employed comes with extra tax complexity — but also a powerful set of deductions that W-2 employees can’t access. This checklist covers every major write-off available to freelancers, independent contractors, and sole proprietors in 2025.
Above-the-Line Deductions (Reduce Your AGI — No Itemizing Required)
These deductions come off your gross income before calculating your adjusted gross income (AGI). They’re available to everyone, regardless of whether you itemize or take the standard deduction.
- ☐ Half of self-employment tax — Deduct 50% of your SE tax (Schedule 1, Line 15)
- ☐ Self-employed health insurance premiums — Medical, dental, vision for you and your family (guide →)
- ☐ SEP-IRA or Solo 401(k) contributions — Up to $69,000 in 2024
- ☐ Qualified Business Income (QBI) deduction — Up to 20% of net business income
Business Operating Expenses (Schedule C)
These reduce your net business income directly on Schedule C.
Office & Workspace
- ☐ Home office deduction — Simplified ($5/sq ft) or actual expenses (guide →)
- ☐ Rent or coworking space — 100% deductible if solely for business
- ☐ Office supplies — Paper, pens, printer ink, postage (guide →)
- ☐ Office furniture & equipment — Desks, chairs, monitors, keyboards (guide →)
Technology & Software
- ☐ Business software & subscriptions — Adobe, Notion, Slack, QuickBooks, etc. (guide →)
- ☐ Cell phone — Business-use percentage (guide →)
- ☐ Home internet — Business-use percentage (guide →)
- ☐ Computer, tablet, or other hardware — Business-use percentage; may depreciate or take Section 179
Vehicle & Transportation
- ☐ Business mileage — 67¢/mile in 2024 (calculator →)
- ☐ Parking & tolls — Always deductible on top of mileage (guide →)
- ☐ Business travel — Flights, hotels, car rentals for business trips (guide →)
- ☐ Business meals — 50% of meals with clients or for business purposes (guide →)
Professional & Marketing
- ☐ Advertising & marketing — Google Ads, social media ads, website costs (guide →)
- ☐ Professional fees — Accountant, attorney, consultants (guide →)
- ☐ Education & training — Courses, books, conferences relevant to your work (guide →)
- ☐ Business gifts — Up to $25 per recipient per year (guide →)
Insurance & Financial
- ☐ Business insurance premiums — Liability, E&O, professional indemnity
- ☐ Bank fees on business accounts — Monthly fees, transaction fees
- ☐ Credit card interest — Business-use portion of interest on credit cards used for business
Medical Deductions (If You Itemize)
Medical expenses exceeding 7.5% of your AGI are deductible if you itemize on Schedule A. This covers doctor visits, prescriptions, dental, vision, therapy, and more. Complete medical deduction guide →
For more tax guidance, see our guides on vehicle business expense deductions and home office deduction guide. For official IRS information, visit the IRS Schedule C instructions.
How to Use This Checklist
Go through this checklist before meeting with your accountant or filling out your Schedule C. For each category, gather receipts, bank statements, or mileage logs. The goal is to capture every legitimate expense — nothing more, nothing less.
Use our AI Deduction Finder to discover write-offs specific to your situation, or our free calculators to estimate your biggest deductions instantly.
This checklist is for educational purposes only. Tax laws change — verify with a licensed CPA.