I'm in the process of starting a sole proprietor landscaping company, and am using my home for storing my gear and for doing design work, and am using my personal truck for work as well. I'm not in a position to afford an accountant yet, so hopefully I can get some feedback here:
I've been struggling with pricing my work, and am not sure what exactly to include when calculating overhead costs. Everyone I talk to seems to have a different opinion on this... would a certain percentage of my home rent and vehicle expenses count as overhead (and how do I find out that percentage?) or none of them, or all of them? And are taxes considered an overhead cost?
I know in a sole prop we are supposed to keep our own personal hourly wage separate from overhead and materials, but when we're using our personal living space and vehicle for work, where do we draw the line? I'd like to be able to get the numbers clear!
Thanks a lot.
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