Self-Employed? Here’s What You Can Actually Claim as an Expense
Stop Leaving Money on the Table
If you’re self-employed and not maximising your tax-deductible expenses, you’re basically tipping HMRC for free. Every legitimate expense you claim reduces your taxable profit, meaning less tax to pay and more money staying in your pocket.
Let’s clear up what you can (and can’t) claim, so you stop second-guessing every purchase.
What You Can Claim: The Essentials
The Golden Rule: If an expense is “wholly and exclusively” for your business, it’s deductible. Here’s what that means in practice:
1. Home Office Costs (If You Work From Home)
✅ A portion of rent/mortgage interest (if you have a dedicated workspace) ✅ A portion of your utility bills (gas, electricity, water – percentage based on usage) ✅ Broadband & phone bills (business-related use) ✅ Office furniture (desk, chair, shelving)
🚨 Not Allowed: If the room is used for both work and personal life (e.g., your dining table), you can only claim a portion.
2. Business Travel & Accommodation
✅ Train, flights, taxis, fuel & parking (if the journey is work-related) ✅ Hotel stays & meals (if staying overnight for business) ✅ Mileage (45p per mile for the first 10,000 miles, 25p thereafter)
🚨 Not Allowed: The morning coffee on your way to work—daily commutes don’t count.
3. Professional Fees & Subscriptions
✅ Accountant & bookkeeping services ✅ Legal fees (if related to your business) ✅ Industry memberships & professional subscriptions ✅ Business insurance (public liability, professional indemnity, etc.)
🚨 Not Allowed: Fines or penalties (e.g., late tax payment charges—HMRC won’t let you expense your mistakes!).
4. Marketing & Advertising
✅ Website costs (hosting, design, domain fees) ✅ Social media ads, Google ads & print marketing ✅ Business cards & branded merchandise ✅ Networking event tickets (as long as they relate to your business sector)
🚨 Not Allowed: Taking a potential client to an expensive dinner and calling it ‘marketing’ (entertainment expenses aren’t deductible!).
5. Equipment & Software
✅ Laptops, printers & work phones (if used for business) ✅ Business software (subscriptions like Zoom, Canva, or QuickBooks) ✅ Office supplies (stationery, postage, printer ink, etc.)
🚨 Not Allowed: If it’s for personal use more than business, you can’t claim the full cost.
Final Thoughts: Keep Your Records Tight
✅ Save every receipt and invoice (HMRC can check up to six years back). ✅ Use separate business and personal bank accounts to make expense tracking easier. ✅ If in doubt, ask an accountant before claiming something questionable.
p.s. not advice obvs!