As a small business owner mixing personal expenses with business is a normal way of life. In the first few years especially of operating there’s a lot of sacrifices involved.
One easily identifiable sacrifice is using your personal cell phone for business vs. having a separate business phone.
Today’s accounting tip of the week is inspired from me having to operate my business without a cell phone after it was stolen. Most parts of my business I can maintain without a cell phone. However, social engagement which is huge is practically impossible without a cell phone.
Facebook and Pininterest are pretty desktop friendly. However, Instagram is not nearly as much. When using Instagram you must use a cell phone to post multiple photos in a deck, post to your story and respond to direct message. In addition I use several mobile apps to create cute and fun marketing material. Let’s just say it was a struggle waiting on the insurance company to mail my replacement phone.
If you’re like me and use your personal cell phone for business purposes. The law allows you to write off the percentage you use for business and personal off your personal phone bill as a business expense per IRS Publication 535. Need help calculating it and other expenses, book a one on one and let’s get started!