Besides the fact that freelancing provides extra freedom, you also have some extra responsibilities as a freelancer. One of those extra responsibilities is keeping your records. You need to have this in order for the Tax Authorities (Belastingdienst). To give you a hand, we have some tips!
First, it is important to know what you need to keep track of. For starters, you need to keep your invoices. You need your invoices when you file your tax return, so you know exactly what your turnover is. You also need to keep good records of receipts and expenses incurred so that you can report your business expenses on your tax return. Note: even after you have filed your tax return, you must keep your invoices well. You are required by law to keep your records for seven years.
Besides keeping track of your invoices and expenses, it is also important that you set aside money so that you can pay any taxes or insurance costs. It may be wise to open a separate account for this purpose. This way you keep your taxes and other matters well separated from your income!
We understand that it can be difficult to keep everything in order. Fortunately, there are plenty of tools to help you do that these days. This article lists them all.
