There are many advantages to taking the unconventional path of a dot com entrepreneur, freelance writer, or solo business owner. There is a definite satisfaction derived from being your own boss, because you know that you’ll be able to celebrate any successes that you achieve. When you manage to make more money, you pad your own wallet rather than some no-name supervisor who had nothing to do with the project.
On the flip side, partaking in the career of a freelancer also means that you will not have any set working hours. This added flexibility certainly has its perks, but it also means that you are never truly “off the clock.” You may be away from your computer and you may not think that you are doing anything directly related to work, but you’ll quickly discover that a lot of your non-business activities can easily become business-related. Again, this is a double-edged sword.
Business on the Mind Makes You Money
A leisurely activity, like feeding the pigeons in the park, can become a reasonable expense for tax writeoff purposes. While at the park, you may end up networking with like-minded entrepreneurs and this impromptu meeting could result in more business for you.
In this way, that bag of peanuts can be an expense related to that business meeting, not unlike when you may entertain a potential client over lunch. This will vary from jurisdiction to jurisdiction, but you can usually write off 50% of the total bill if the “business lunch” is within the realm of reason. A meal with your friend from out of town doesn’t count… unless she also happens to be a client of yours.
All Work and No Play Makes Homer Go Something-Something
Looking at the negatives, this could also mean that you can never have a truly leisurely time doing anything, because a lot of what you do can be translated into your business. Some may say that this is a symptom of being a workaholic; others may say it is simply a dedication to success and a creative way to maximize your income.
When I go to a Dot Com Pho, I do so to have a good time with my friends. That said, it is also an opportunity to discuss business and seek out more ways to make money online. It is through Dot Com Pho, after all, that I connected with BlueFur and John Chow in the first place. Can this take away from the fun? Possibly.
Value Beyond Business Expenses
Regardless of your exact business structure, you have the opportunity to transform leisure activities into business-related ones. This is particularly true of professional bloggers, because we’re always on the lookout for new blog post fodder. I could be reading a new book, trying a new restaurant, or playing a new video game, and these could all become sources of inspiration. I may or may not legitimately write all off of these as business expenses, but they still provide business-related value.
Yes, you may be able to disconnect from the Internet and step away from the computer, but if you are truly dedicated to your work, your business will always be on your mind. Is this a healthy sense of business savvy or is it an utter obsession that requires some sort of remedy? What do you think?
There definitely has to be a balance between work and leisure, but in the line of work of a dot com mogul, sometimes those can overlap. And when they overlap, tax write-offs seem easier to come up with. 🙂
I agree with Chris on this. But, it’s hard to not think about whether this is a tax write off or not.
On the other hand that is a 1 second thought, either yes or no, decision made, then go onto having fun. It’s registered in the back of your mind, but isn’t the focus of what you are doing. You have to enjoy whatever it is you are doing after you make the 1 second decision.
Is it or isn’t it is just a grain of sand in the whole beach of moment.
I don’t think I can regard it as dedication to work when someone has work/business constantly on their mind. It is more a case of unhealthy obession or total lack of work-life balance.
You mentioned the line between work and leisure activities can be blurred, especially for pro blogger. In this case, where does one draw the line in terms of tax write-offs and reporting?
This is such a tough call. My fiance and I go to breakfast most Sunday mornings. We always end up talking about one business or another. If you want to be technical, I think my trips to the grocery store could end up as a tax write-off 😉
I know someone who bought a pack of gum so his breath wouldn’t smell when he was talking to a client. He ended up writing the gum off. I think that’s a little drastic though.
Seriously? That’s kinda excessive…besides, for the amount he would save with the cost of the gum, keeping track of the receipt and related paperwork type activities seem like more hassle than it would be worth.
Definitely. You would end up being a pack rat, especially that you have to hold on to your papers for at least 6-7 years.
The challenge of being self-employed is to not allow it to rule you. The strain of long hours can make personal relationships a quagmire….
That should be true, but from what I’ve noticed, self-employed people (especially online) tend to work more hours than a normal 9-5 job. Seeing people answer e-mails and sending out tweets at 4 in the morning would lead one to believe they’re working too hard. lol
It’s an addiction or obsession or just the “need for speed” (Top Gun).
I’ve noticed this as well. I wonder if it has something to do with the fact that their entire lifestyle is dependent upon the success (or failure) of the business ventures and the success (or failure) of those ventures are extremely dependent upon their actions…
At the same time, if I come home from a night on the town at 4AM, let the dog out, send out a couple tweets, reply to your email inquiring about advertising, bring the dog back in, and get to bed by 4:30, is that really working too hard?
I think it comes down to intent and result more than anything in most cases. For example, if you go to the park with the intention of writing about your trip and trying to network, it would be a “business trip” whereas if you go to the park in the afternoon and then that evening decide that it would be a good blog post, it would be a “leisure trip”.
It’s easy to see how the line can become blurred, and have noticed myself thinking about my blog and websites almost obsessively at times. However, I’m not sure whether I think it is just being passionate about the work or a problem that needs to be solved.
I sometimes go to the park and draft some blog posts in Word, then upload them when I get home. I tend to think better and become more creative outside of the house.
In that case, I think it would be considered a business trip 🙂
I wonder if I can write off the Subway sandwich that accompanied my trip then? haha
Probably not, but then again, would have written it off if you ate it at home while doing that?
Remember this from Seinfeld?
Jerry: You don’t even know what a write off is.
Kramer: Do you?
Jerry: No
Kramer: But they do. And they’re the ones writing it off.
LOL
Great show…I don’t remember that particular part/episode though.
It was when Kramer bought a stereo and broke it or something and then wanted to have the post office pay for it and claim it was damaged during shipping. He then told Jerry that they will “just write it off.” lol