How to Keep Your Budget From Busting When Upsizing for a Home Business
Thank you to Sarah Velasquez from https://ourperfectabode.com/ for this blog. Sarah has done a previous guest blog. Check out this article about cleaner air: http://www.reelpropertysolutionsllc.com/3-steps-to-cleaner-air-at-home/.
How to Keep Your Budget From Busting When Upsizing for a Home Business
Did you start a business during the pandemic, and it’s now thriving? Congratulations. This is a success story that’s been modeled time and again. A push for home businesses has been one of the few bright spots of this (hopefully) waning global crisis. But now you need more space, and interest rates are rising.
So the big question is: how do I save money while upsizing my home to better accommodate my growing business?
There’s no singular answer, but today’s post offers a few suggestions. Without further ado, these are:
Partner with a realtor.
Having the right realtor on your side means that you have more than just someone that can let you into properties to view. Reel Property Solutions’ Jason and Rochelle Markov are experts on the market, know how to follow trends, and can point you in the right direction to a house that will work for your needs and that fits within your budget.
Add in here: Rochelle Markov is a licensed real estate agent with eXp Realty. Let’s connect to talk about real estate, your goals, timeframe, or anything else relating to your home situation.
Form an LLC for your business.
There are many ways that an LLC can benefit your bottom line. While you will need to do state-specific research before using an online formation service (which is a great way to also save money), a few things you might expect, according to Rocket Lawyer, are tax perks, retirement fund contribution write-offs, and having the ability to lease your home office to your business.
Invest in both home insurance and a home warranty.
When you buy a new home, you’ll likely be required to have home insurance anyway. This covers many big-ticket issues, such as property damage and, potentially, living expenses if your home is not habitable due to an issue beyond your control. Homeowner insurance may also cover injuries and theft, but it does not cover your appliances, plumbing or electrical systems, or HVAC. If you’d like coverage for these, invest in a home warranty. The company with the best home warranty for you will offer multiple tiers of service and have excellent customer satisfaction ratings.
Streamline your home office.
Streamlining your workspace means reducing unnecessary steps and wasted time in your processes. This could be something as simple as having a second monitor, so you’re not flipping back and forth between screens. You might also invest in furniture and storage solutions that help you keep your office neat and organized. Timeular explains that saving time increases productivity and helps you reach your goals faster. This means you can get more done and, as a result, make more money.
Understand your tax write-offs.
If you choose not to go the LLC route, you may still be able to benefit from having a home office, but you have to understand the rules and regulations that go with home office deductions. Primarily, your home office must be used exclusively for business. You can also deduct repairs made to your office or to your entire home; if you deduct the latter, the deduction is equivalent to the percentage of your home your office takes up. For example, you may be able to deduct 10% of your roofing expenses on a 1000 ft.² home with a 100 square-foot office.
Whether your home business is simply building a passive income, designing beautiful lawns and landscapes for others, or any of the many other remote businesses there have been proven on the market today, growth is always a good thing. However, when you have to buy a new home to accommodate your expansion, you don’t want to go overboard and bottom out your bottom line. Today’s tips, from forming an LLC to buying a home warranty and knowing how to increase productivity, can help you keep your hard-earned money at home where you need it most.
Reel Property Solutions, LLC can help you buy the home of your (business) dreams. Ask us about personalized service in your hometown today.
To contact for more information:
info@reelpropertysolutionsllc.com
rochelle.markov@exprealty.com 507-358-0638
