Every entrepreneur knows the challenge of keeping their own costs in check. This is no different for self-employed web designers and graphic designers. Business entertainment costs are among the items that are often underestimated. However, you should know exactly how much you spend on drinks, snacks, and business meals in order to calculate your invoices correctly and maintain your standard of living. In this guide, we will go step by step through how to calculate these costs.
Main findings Business entertainment costs can add up and are often higher than one thinks. Realistic calculation is essential to avoid financial bottlenecks. It’s better to plan more generously and consider your individual expenses.
Step-by-step guide to calculating business entertainment costs
However, to properly account for business entertainment costs, you first need to get an overview of your expenses. The initial recording may take some time, but this first step is crucial for a successful calculation.
1. Determine monthly expenses for drinks and snacks Start by noting your monthly spending on coffee, juices, water, and pastries. Keep track of the numbers and then calculate them annually. This way, you have a solid foundation for your calculations.
2. Add expenses for business meals You should also consider the costs for business meals. Create a realistic estimate for your annual expenses in this area. In our example, we use 2000 euros as annual business entertainment costs.
3. Monthly conversion of total costs Divide the annual expenses by twelve to get a monthly figure. In our case, this means you are calculating with about 150 to 170 euros per month.
4. Determine daily costs To better reflect your presence in the office, you should also convert the monthly expenses to the number of working days. With 20 working days in a month, your daily expenses for entertainment are between 7 and 10 euros. This number gives you insight into how much you spend on average daily.
5. Individual adjustment of the numbers Keep in mind that your own expenses may vary significantly, depending on how often you go out for business meals with clients. This personal adjustment is crucial!
6. Realistic calculation Don’t forget to plan one euro more rather than one euro less in your calculations. This reserve helps you avoid financial bottlenecks and enables you to be successful in the long term.
Summary – Business entertainment costs for self-employed – Practical guide
In this guide, you have learned how to reasonably calculate your business entertainment costs. Start by recording your monthly expenses, consider business meals, convert these costs into monthly and daily sums, and adjust the figures according to your personal needs. This way, you ensure that you calculate securely and do not get stuck at subsistence level.
Frequently Asked Questions
How do I determine my monthly business entertainment costs?– Note your expenses for drinks and snacks and calculate them annually.
What expenses should I plan for business meals?– Plan realistically, e.g., 2000 euros annually, depending on how often you go out with clients.
How many working days can I include in the calculation?– Typically consider 20 working days per month.
Should I plan more or less in the calculation?– It’s better to plan a little more to avoid financial bottlenecks.
