Whether or not you make much money from your writing, 2011 might be the year to begin keeping track of expenses and income. And the beginning of the year is the perfect time to set up the record-keeping that can save you money on next year's taxes.
Not sure what you need to keep up with? Here are some links to help you sort out the possibilities.
First of all, take the Writing as a Business quiz on Seekerville. It may help you narrow down some areas you can focus on.
Writer's Digest has a comprehensive article that explains the taxes you'd pay as a self-employed writer, and how to balance that tax with deductions. You'll find out whether your writing is an occupation or a hobby, and possible deductions you can take.
The Guide to Literary Agents adds a few more details with tips on deductions like health insurance and cell phones.
Agent Rachelle Gardner has two great posts. The Tax Man Cometh details how to treat your writing as a business. Keeping Track of Things adds a list of files you'll want to set up for royalty statements and book sales.
If you'd like some free forms to help you stay organized, check out The Organized Writer for everything you need.
Are you keeping records yet? Do you have a system that works for you?