Work From Home Opportunities

Written by Adam Blau
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For those seeking to work a job from their houses, it is important to know that work from home opportunities generally tend to fall into two main categories. In one case, you are specifically working as a hired employee on the staff of a particular company. In the second, you are considered a consultant or freelancer hired to perform a particular service for a company.

Two Different Kinds of Work from Home Opportunities

Each of these work from home opportunities carries its own set of tax and benefit issues, so it is important to distinguish between them. In the first scenario, in which you are technically an employee of the company, it frequently works the same way as if you worked in a brick-and-mortar office. If office employees get health or 401(k) benefits, you will likely receive the same or similar plan. If taxes would be withheld for office employees, it would likely work the same way for you as a telecommuter.

For freelancers, things may work a bit differently. Much of the time, freelancers are responsible for filing quarterly taxes on their own rather than having the company withhold them as they would an employee's. This means that a freelancer needs to manage his or her money in such a way that he or she knows how much estimated tax is owed each quarter. Similarly, a freelancer is often responsible for finding his or her own benefits plan. Several insurance companies offer individual health plans for those who work independently.

With each of these work from home opportunities, there is a strong chance that you can write off various work expenses from your taxes. If you use internet services or particular supplies for the job at hand, this is considered a work expense. If you have a designated office area, a fraction of your rent might even be a work expense that can be deducted from your taxes. Consult an accountant to find out what aspects of your home office qualify for deductions.

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