Home Careers Separating Business From Pleasure

When your work happens at home – or perhaps, your home is your business – it's not always easy to turn off the computer and take time to enjoy yourself. But it's not just your time that needs to be clearly defined as belonging to your business as opposed to taking time to relax, other areas, too, need clear definitions.

First, you need separate insurance for your business, even if it is in your home. Your home insurance coverage will not cover anything that is damaged or stolen when it is for your business. Make sure that you have liability coverage as well as equipment coverage for all your supplies, your computer, your stock – anything that relates to your home business – separate from your regular home insurance.

Finances, too, must be clearly defined. You will need to claim certain business expenses and to keep the line between stamps bought for personal use and stamps purchased for your business, make separate purchases for each so that the receipts can be kept separately. Having a business credit card and a bank account that are solely used for your business are essential. It will clear up financial expenditure issues at tax time.

If you use your car for business purposes and don't have enough money – or business – to purchase a separate vehicle, then you will need to keep a notebook in your car to enumerate business purchases. The miles you drive in the car will help you determine how much of the gas you buy is for business use. These are numbers that will come in handy when you need to figure out your true bottom line. When it comes to your home career, separating business from pleasure is more than just 'should.' It's a must.

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