Definitive guide to reduce self-employed expenses

Surely you’ve read a lot about it. That before you have looked for options and solutions, to reduce your spending and save costs in your business. I humbly warn you: here you will not find only tips to save being autonomous. In this article I give you a methodology of business management, a way to understand the management of your activity on a day-to-day basis. A guide to meet to reduce self-employed expenses.

You know the importance of reducing your expenses to the maximum to obtain greater profitability. I do not discover anything new. But I do want to show you the different formulas you have on hand to control spending, and reduce it, paying attention to certain routines.

You must evaluate if these options are implementable in your activity so that it is more efficient contributing a greater benefit.


Do not forget any of the autonomous deductible expenses

This is basic for anyone who has a business. There are many expenses that you can deduct. What does “deduct” mean? Well, they are investments that reduce the net return of your activity, causing you to pay less taxes.

Remember that in order for an expense to be admitted as a deductible, it must meet certain requirements:

  1. Being linked to the economic activity carried out by the self-employed, or as the Treasury says, who are “affected” by it.
  2. Be conveniently justified by the corresponding invoices. Be registered by the self-employed person in their corresponding expense and investment books.
  3. We talk about the expenses of salaries, social security fees, certain taxes, exploitation costs, services of independent professionals…
  4. But beyond, there are also the vehicle, gasoline, clothing, mobile phone, diet … And if you work from home, you can deduct the expenses of supplies in proportion to the space allocated (and declared) to your business.

You cannot pass up the expenses that are deductible without an invoice. Another list that you should keep in mind among those that are: bank charges, expenses derived from commercial contracts … From the links to the articles linked in superior lines take a list with all of them and keep it in mind.


Attention to your own bonuses

You must check if you are among any of the beneficiary groups of bonuses and discounts on Social Security contributions.

They are applicable to certain groups of self-employed workers. And we do not just talk about the famous flat rate for those who start with the activity, or those who have two years without being registered as a self-employed worker.

Also of the extension that young people under 35 have if they are women, and 30 if they are men, of the same measure for another year. Of the exemption of payment of the quota during periods of maternity and paternity leave. 

They are just some examples, we tell you all in this article. Do not forget to check if you are in one of the benefited groups.


If you are going to hire do it to people “bonus”

A few days ago, we launched a post talking about how difficult it is for certain sectors (by race, sex, age or family situation) to find a job even having the aptitudes for a certain position. Above, you should see an opportunity in certain sectors of society since their hiring is rewarded:


  1. a) Relatives: under the figure of self – employed collaborator you can hire a family member up to the second degree of consanguinity. You will be rewarded 100% of the fee if the contract is indefinite.
  2. b) Under 30 years: if you hire a child under 30 enrolled as a job seeker with a contract to promote entrepreneurs you will receive 1,000 euros in the first year, 1,100 in the second and 1,200 euros in the third.
  3. c) Greater than 45 years : if you hire indefinitely a person older than 45 years in a young entrepreneurship project, you will receive 1,300 euros per year for 3 years, which will be transformed into 1,500 € if you hire a woman in certain sectors.


These are just some examples, but if you access this link we have a detailed article on the subject where all the bonuses are specified according to the type of contract.

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