This tool helps you total all your work costs in one place. Here is how it works:

• Description — give each cost a short name (e.g. "Office Rent")
• Category — pick the closest match from the dropdown
• Amount — enter the cost in your chosen currency
• Frequency — set whether the cost is weekly, monthly, or annual

All amounts are converted to a monthly figure automatically. The tool then totals everything, groups by category, and estimates how much you could save on taxes if these expenses are deductible. Once you have your monthly total, you can subtract it from revenue to work out your contribution margin and see how much is left after variable costs.

Tax deduction estimate: Annual total × your tax rate = estimated saving. This is a rough guide only — check with a tax professional for your specific situation.

* Section 179 allows many business assets to be fully expensed in the year of purchase instead of depreciated. Always confirm rules with a CPA. For product-based businesses, the Inventory & Supplies category feeds directly into your cost of goods sold, which is reported separately on most business tax returns.

Tracking your costs is useful no matter your business type:

• Freelancers & sole traders — deduct expenses on Schedule C (US) to reduce self-employment tax
• LLCs & S-Corps — lower taxable profit by recording all legitimate operating costs
• Small business owners — understand your cost structure and find areas to cut spending; tracking labor cost separately helps you see your biggest expense clearly
• Remote employees — some unreimbursed costs may be claimable depending on your country
• Side hustlers — even part-time businesses can deduct their direct costs

Good records also make tax filing easier and reduce audit risk by showing clear documentation of each expense. Setting a clear business budget alongside your expense tracking gives you a target to measure spending against throughout the year.

• Bundle subscriptions — many software tools offer annual deals 20–40% cheaper than monthly billing
• Review recurring charges — cancel tools you are not using; automatic renewals add up fast
• Use free tiers — most SaaS tools have a free plan suitable for solo users or small teams
• Co-working vs. office — a monthly hot-desk pass is often much cheaper than dedicated office space
• Track mileage — the standard mileage deduction can add up significantly for frequent drivers
• Watch your ad spend — before increasing marketing costs, check your conversion rate to make sure the spend is actually turning into customers
• Separate personal and business — a dedicated business account makes it easy to see exactly what you spend
• Pay annually — many insurance and software providers give discounts for yearly payments