Huge Tax Savings for Network Marketers

“A network marketing business can result in tax savings of $3,000 to $9,000 dollars per year.” -- Sandy Botkin, tax expert 

After 5 years working in network marketing, I have yet to pay income tax on my earnings.  I am doing well with my business, earning a nice living.  However, because of the many costs that are tax deductions when you have a home business, I have been able to deduct more than I earn.

As a network marketer, you can deduct whatever cost you may have to pay to your company, whether it be a one-time payment, monthly or an annual fee.  

• In most cases, you can deduct a portion of your mortgage or rent and a portion of your utilities.  (Whatever percentage of your home you use as your "home office," you can deduct that same percentage for rent, utilities, etc.)  
• If you purchase advertisements online or offline, if you print or purchase brochures or fliers, they are business expenses, and therefore, deductible.
• If you attend your company's annual convention, all expenses incurred during the event are deductible.  The cost of the registration, your hotel, travel and food expenses all will likely qualify for tax deductions.

There are actually too many to mention here.  Be sure to discuss this matter with your upline and/or a tax professional to see what YOU can deduct, because some deductions vary from one person to another.  Before you actually deduct anything, ask your tax preparer or at least research what is deductible in your situation.

It is very important that you track these expenses very carefully all year long!  You can use tax software, a spreadsheet or just a hand-written record, but record everything!

In summary, remember that even before you start earning money with your network marketing business, you are benefiting by the tax benefits for which you qualify.