As a self-employed individual or a small business owner, dealing with taxes can be complicated and time-consuming. Fortunately, with the advent of tax preparation software like TurboTax, filing your taxes has become a lot easier.
However, with all the different versions of TurboTax available, it can be difficult to decide which one is best for you. In this blog post, we’ll discuss the differences between TurboTax Self Employed and TurboTax Home and Business to help you make an informed decision about which one to use.
1. Features and Benefits – TurboTax Self Employed is designed specifically for freelancers, contractors, and small business owners. It offers features such as expense tracking, industry-specific deductions, and guidance on how to maximize your deductions.
Home and Business, on the other hand, is designed for those who have a combination of personal and small business income. It includes features such as rental property income, reporting profit and loss from a business, and home office deductions. If you’re purely self-employed, Self Employed is likely the best choice for you. If you have a more complex income situation, Home and Business may suit you better.
2. Cost – The cost for TurboTax Self Employed and Home and Business varies depending on the specific features you need. If you’re self-employed, Self Employed would be the cheaper option compared to Home and Business. However, if you’re managing multiple streams of income from various sources, you’ll likely need to purchase the more expensive Home and Business version. Ultimately, the cost will depend on your specific needs and budget.
3. Ease of Use – Both TurboTax Self Employed and Home and Business are user-friendly and easy to navigate. However, Self Employed is more streamlined and designed specifically for self-employed individuals. Home and Business has a broader range of features, which can make it more challenging to use for those who are self-employed.
4. Customer Support – TurboTax offers customer support through a chat feature, phone support, and a comprehensive knowledge base. They also offer access to tax experts in certain situations. Both Self Employed and Home and Business users have access to customer support. However, if you have a complex tax situation, it’s worth investing in TurboTax Live, which gives you access to a tax expert who can answer any questions and guide you through the process.
5. Accuracy and Security – TurboTax is known for its high level of accuracy when it comes to tax preparation. They use encryption technology to protect your personal and financial information, and they provide a 100% accuracy guarantee. Both Self Employed and Home and Business offer the same level of protection, so you can be sure that your personal and financial information is in good hands with either option.
As you can see, choosing between TurboTax Self Employed and Home and Business can be a matter of assessing your business needs and budget. If you’re self-employed, TurboTax Self Employed is likely the better choice due to its specific features for freelancers and contractors.
However, if you have a combination of personal and small business income, Home and Business may be the better option for you. Ultimately, both options offer user-friendly tax preparation, high-level accuracy and security, and good customer support. With TurboTax, you can file your taxes with ease and confidence no matter which version you choose.