Bookkeeping and Accounting for Tattoo Artists

As a tattoo artist, there are numerous specific expenses you can claim to help reduce your tax liabilities. These include:

• Tattoo Supplies: These are considered necessary business expenses. They include inks, needles, gloves, cleaning supplies, tattoo machines, etc.
• Rent: If you rent a space for your tattoo parlor, you can deduct that expense. If you are a home-based artist, you may also be able to claim home office deductions.
• Professional Development: Workshops, trade shows, books, and other resources to improve your skills can generally be deducted.
• Marketing and Advertising: Expenses on business cards, flyers, ads, website maintenance, and other advertising methods are deductible.
• Insurance: Business insurance premiums can be deducted.
• Equipment: Larger equipment purchases, such as tattoo chairs or specialized lighting, can often be depreciated over several years.

This is not an exhaustive list and many more expenses may apply depending on your specific situation. Always consult with a bookkeeper or a tax advisor to ensure you are claiming all allowable deductions.

Organizing income from different sources doesn't have to be a challenge. One option is to create different categories or accounts in your bookkeeping software for each income source, such as tattoo services, art sales, and merchandise. You can then record the respective income under each category. Our team at Bench Accounting can also assist with this. We can setup and manage a comprehensive bookkeeping system designed specifically for your business, making it easy for you to keep track of your income sources and giving you more time to focus on growing your business. If you want to learn more or need help getting started, feel free to contact us.

The type of accounting method you should use largely depends on your business model and the specific requirements of your industry. As a general rule, most businesses use either the cash-based accounting method or the accrual accounting method.

Cash-based accounting: This is the simplest method and is ideal for small businesses. In this method, income is recorded when you receive it and expenses are recorded when they're paid.

Accrual accounting: This is a more complex method generally used by larger businesses and corporations. In accrual accounting, income and expenses are recorded when they're billed and earned, rather than when money changes hands.

It's crucial to consult with a professional bookkeeper or accountant to determine the best method for your particular business needs.

Nope! All bookkeeping is completed in-house.

Your bookkeeper will be your main point of contact, but at times you might hear from another member of your team. This is usually when your bookkeeper goes on vacation, is sick, or otherwise unavailable.

We handle the bookkeeping for you but sometimes we’ll need your input, especially at year-end. On average, expect to spend 15 minutes each month answering questions for your bookkeeper, or uploading supporting docs.