Read my receipts

Two years ago, I shared a detailed look at my business expenses as a freelancer. Since I now have around three times as many subscribers, I thought I would do it again! If you’re a fellow freelancer, I hope this is insightful. If you’re not, well, I just hope you’re in a nosy mood.

As far as small business ownership goes, freelance writing is a pretty inexpensive endeavor. In fact, all you really need is some sort of computer. My expenses haven’t changed too much over the years, but I’ll go ahead and break down the cost of running my solo business in 2025, starting with my biggest expense:

Taxes aren’t a discretionary business expense, but I feel I should include them here. 

As a self-employed US citizen living in Canada, I file tax returns with both countries — lucky me! There’s a treaty between the US and Canada that ensures I only need to pay taxes to one country (in this case, Canada). Are you still with me, or have you zoned out? I get nerdy about tax stuff, but I know it’s not exciting for everyone.

I’ve been setting aside 30% of my income for taxes, but I’ve found I end up paying a bit more than that. This year, I’m setting aside 35% to give myself a cushion and hopefully a little “refund” next year. (Hah! Self-employment life hack.) My total tax in 2025 was close to $19,000 USD.

This is my next biggest expense category, coming in at around $1700 last year. Here’s everything I pay for on a monthly or annual basis:

Canva was a new one for me last year. I got it as a cheaper and simpler alternative to Adobe programs, but I almost never use it and I don’t know if I will renew it when my subscription ends in July. You can pry Adobe Illustrator from my cold, dead hands. I also paid for a few months of Groove, a coworking app that no longer exists (RIP 🪦).

I paid for a few newsletters and communities in 2025, including:

These totalled around $380. Honestly, I could probably cancel WriteJobsPlus because Kaitlyn does such a great job with Freelance Opportunities — she features most, if not all, of the same gigs. But it’s only $5/month, and it’s the newsletter that got me the gig that really launched my freelance journey… so I’m sentimental about it.

It was a light year for equipment and supplies. I bought a new desk chair for $300 (worth every penny) and a planner for $20.

My only other notable expense category is bank and Stripe fees, totalling $350. I also paid for two months of business insurance, totalling $190. I originally got business insurance in 2023 because a client required it, but most clients don’t. And I don’t think it’s really worth it given the low-risk nature of my work. I don’t think most freelance writers have business insurance.

My business expenses (minus taxes) for 2025 totalled just over $2,900. 

I hope this was helpful, or at least interesting! I’m a big believer in financial transparency and openness about money, so reach out if you ever want to chat about income, expenses, rates, etc.

See you next week,

Kara

P.S. Snail Mail Summer signups are open! Here’s a sneak peek of one thing you’ll see in the mail if you join 😎

See you next week,

Kara

What I do when I’m not at my desk

Kara Detwiller is a writer and creative based in small-town Saskatchewan. She specializes in long-form content writing for enterprise SaaS, cybersecurity, and manufacturing clients. She is also working on her first novel, among other creative pursuits. To connect, reply to this email or find Kara on LinkedIn.

Why Wishful Working? I want to help people thrive in a world obsessed with work and productivity. Together, we’re expanding the definition of productivity, rediscovering life balance, and exploring the many kinds of work that make life possible.