Coworking Space Memberships
WeWork, Industrious, and local coworking space memberships for a professional workspace outside your home.
Tax Form
Schedule C, Line 20b
Estimated Savings
$1,000-6,000/year
IRS Reference
Publication 535
Income Level
How It Works
Coworking space memberships provide a professional environment for content creation, meetings, and focused work. These costs are fully deductible for self-employed creators. However, there's an important rule: you generally cannot claim BOTH a coworking space deduction AND a home office deduction, unless you can clearly demonstrate different uses (e.g., home for daily editing, coworking for client meetings).
IRS Rules & Requirements
- Only self-employed individuals can deduct (not W-2 employees)
- Cannot claim BOTH coworking space AND home office deduction (with limited exceptions)
- Must be used regularly for business purposes
- Commuting and parking to coworking space are NOT deductible
- Keep membership agreements and payment records
Real Examples
WeWork hot desk membership at $300/month = $3,600/year deduction
Local coworking space at $200/month = $2,400/year deduction
Day passes at $30/day × 50 days = $1,500/year deduction
Common Mistakes to Avoid
- Claiming both home office and full coworking deduction simultaneously
- Thinking commute to coworking is deductible (it's not)
- W-2 employees trying to deduct coworking (not allowed)
- Not keeping membership receipts and agreements
Pro Tip
If you work primarily from home but use coworking for client meetings, you may be able to claim both - but document the distinct business purposes clearly.
Related Deductions
Home Office (Simplified Method)
Claim $5 per square foot of dedicated workspace, up to 300 sq ft.
Home Office (Regular Method)
Deduct actual expenses: rent, utilities, insurance, repairs based on office square footage.
Studio Rental
Hourly, daily, or monthly rental of professional studio space for content production.
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