Your dream is to work and live in Thailand. Why not have ultimate joy working and living in the same place!
Home-offices are very popular, a real choice for lots of entrepreneurs, small business owners and start-up companies who are re-shaping Bangkok’s business landscape.
Here are some reasons why;
More work, less travel
It’s estimated we spend an average of 240 hours a year traveling back and forth to work. That’s about 60 minutes a day for two-way commutes to work that doesn’t account for nuisances like Bangkok traffic, hailing that motorcycle-taxi, standing in line for some change to take the subway, or stopping off at your favorite dumpling shop.
With a home-office, the time spent traveling to work and on all the little misadventures can be put immediately to money-making activities.
Deduct home expenses on your income taxes
Expenses that go towards your home-slash-office can be deducted from your taxable income which means more money going into your fixed asset and less out of your wallet.
Expenses such as mortgage, rent, phone, internet, repairs and maintenance are tax deductible, in a proportion to its use for your business. So for example, if 50% of your home-internet is used for your business, that 50% portion is a business expense and therefore tax deductible.
The amount of space in your home that you set aside for your business also factors in on your tax deductions. Business space and personal space need to be clearly separated and partitioned so that no mix-use can be confused.
Other nifty examples of tax advantages with a home-office;
- TVs, computers, desks, equipment; all business supplies for your home-office are business expenses and tax deductible
- Renovations, repairs and maintenance to your home-office space are business expenses and tax deductible
- Phone and internet use related to your business are business expenses and tax deductible
- Hiring a live-in or family member is a business expense and tax deductible
Additionally, if your home-office expenses exceed your total revenue for that year, they can be carried over to the next taxable year
Balancing an unrelenting work schedule
If you’re working in Thailand, you already know the job is around the clock, overtime is free, you’re digitally connected to the hip and lots of your clients are overseas. Your personal life and personal space begin to disappear very quickly.
Having an office at home just lets you balance things out better. While hard work is still mandatory, you have the flexibility to spend time with your family or tend to a personal errand, in between juggling those oversea teleconferences and deadlines from your office at home.
Leaner and more competitive company
Having a home-office will significantly reduce your overhead costs allowing you to compete harder. You save on transportation, receive tax advantages and deductibles. You don’t pay double for additional office space, internet and phones lines. Home-office setups allow your company to be more agile, quickly ramping up operations when necessary or ramping down without taking heavy collateral damage.
As a result, a home-office company setup can offer lower prices to its customers and clients winning more business and profits!
The shape of home-offices in Bangkok
Home-offices in Thailand usually take the shape of townhouses located in Bangkok’s central business areas. Due to the nature of Bangkok’s zoning – retail, commercial and even residential buildings are clumped together. You’ll find that the residential type with close proximity to major roads, ideal for home-offices are townhouses. These townhouses are usually multiple-storey 4-level constructions that are perfect for running your business on the lower levels while living on the floors above.
Great investment choice in Thailand
Perhaps you’re not the entrepreneurial type. Your more of a real-estate person. Townhouses with close proximity to main roads are a great investment. Because the culture for and number of start-ups, SME’s and entrepreneurs looking for such competitive home-office setups in Bangkok – are flourishing.