Don’t Let Your Home Business Drain You Financially

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When you began running a home Internet business, did you figure on making a bunch of money in a short amount of time?

For some home business owners, the answer to that question is likely yes. Others, meantime, probably figured they would slowly work their way up to a point where they felt comfortable financially. Still others, however, may have thought they’d be happy just to break even.

Whether your home Internet business has been a financial success to date or is still struggling to get there, what are you doing about your home bills tied to your business activities?

From tax deductions to reducing your electric and Internet bills, there are steps you can take to turn a potential loss into a potential gain.

Know Your Deductions and Expenses

So that you can make sure your home business is churning on all cylinders and not costing you an arm and a leg, keep these tidbits in mind:

• Utility provider– One of if not your biggest expenses working from home will be utilities. From the electric bill to Internet service, phone lines etc., expect to allocate sizable money to these needs. In order to get the lowest bills possible, look at Direct Energy rates and the different utility provider options available in your area. While some areas of the country are limited in their electricity needs, other areas offer more than one option. Once you have the most affordable and best reliable utility provider serving you, then the onus falls on you (see below) to save as much money as possible;

• Don’t waste – Make sure that you don’t waste electricity while running your home Internet business. From leaving lights on in your office area to a computer running 24/7, you’d be surprised how quickly such expenses can mount. If you have family at home, make sure they’re not using your office when you’re not there, all the while leaving lights on, computers running, perhaps even a TV on while no one is watching;

• Set the temperatures – When working from your home office, make sure you set your thermometer at a comfortable, yet affordable setting. Running the office too hot in the wintertime or too cold in the summertime can easily lead to higher electrical bills. Also make sure that your home (be it a house, apartment, condo etc.) is properly insulated. Cracks in the windows, spaces in the doors etc. can easily lead to unwanted higher electric bills.

Many people start a home Internet business while still employed elsewhere, after losing their full-time job, as they head into retirement or any number of other situations.

So that your home business can be beneficial and provide you with the funds you need to supplement your current income or try and replace your prior one, don’t overlook what you pay in terms of your bills, most notably home utilities.

In the end, being prudent over your utility bills and other home expenses will make your home business all the more profitable.

Photo credit: Image courtesy of Stuart Miles at FreeDigitalPhotos.net

About the Author: Griffin Jones covers a variety of website topics, among which include running a small business and finance.

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