How to Create a Home Office

Step-by-Step Guide

1. 1

   Step 1: Determine what space you have available for a home office.

   Your office should have its own space as separate as possible from other household activities.
   
   Ideally, this will include a door that closes out noise and other distractions.
   
   Perhaps you have an extra bedroom or a section of a finished basement.
   
   A folding screen or bookcase can help create a dedicated work area if you are unable to dedicate an entire room to your home office.
   
   Even a small corner with a desk can create an atmosphere.
2. 2

   Step 2: Define the needs you have for your office space.

   You will need a desk or other surface for your computer, a chair and space for files or reference materials.
   
   Office machines such as a scanner and printer will also be necessities in most homes offices.
   
   You may want a separate waiting area if you have a business requiring client confidentiality, such as a law practice or a therapy practice.
   
   Decide whether you will need meeting space or space for an assistant or other employees. , You may need to prioritize purchases over time, adding equipment and furniture as finances allow.
   
   Evaluate whether equipment such as computers and other office machines are a better deal for you if purchased or leased.
   
   In either case, be sure you have access to reliable service for all of the equipment.
   
   You may be able to find furniture for your office from a refurbished office furniture company or purchase used office furniture at a garage sale or from an office that is closing, relocating or remodeling. , The more pleasant and attractive your office space, the more you will enjoy the time you spend there, which has been shown to translate to increased productivity.
   
   Consider using full-spectrum lighting to get many of the advantages of sunlight if your office does not have natural light from a window. , Set aside another area in your attic, basement or a closet or space in another area of the house if space does not permit you to keep all of your files or supplies in your home office.
   
   Minimize the amount of space needed for paper storage by scanning documents and records to your computer.
   
   Back up these records on a regular basis. , Your children should have their own areas dedicated to homework and should be taught to respect your work space. , Internal Revenue Service (IRS) regulations allow for tax deductions on that portion of a house used exclusively for business, under certain conditions and restrictions.
   
   You can find an overview of the regulations on the IRS website.
   
   You must use a specific portion of the house "regularly and exclusively" to conduct business to claim a home office deduction.
   
   Use IRS Form 8829, Expenses for Business Use of Your Home (available at http://www.irs.gov/pub/irs-pdf/f8829.pdf), to calculate your allowable deduction if you are self-employed and transfer this to your Schedule C form.
   
   You may also be able to deduct a home office if you can demonstrate that you are working at home for the convenience or benefit of your employer, rather than for your own benefit.
3. 3

   Step 3: Make a budget for your home office.

4. 4

   Step 4: Decorate your office to make it as inviting as possible.

5. 5

   Step 5: Create a separate storage or archival area

6. 6

   Step 6: if needed.

7. 7

   Step 7: Set ground rules with your family and for yourself about use of the space

8. 8

   Step 8: noise and interruptions.

9. 9

   Step 9: Determine whether your home office qualifies as a tax deduction.

Detailed Guide

About the Author