What Should a Musician Do Now to Handle Taxes?
You don't need to become an accountant. You need four habits that make tax time boring instead of brutal.
Separate your money, track it, set a slice aside, and know when to bring in a CPA. Do those four things and you've handled 90% of what trips artists up.
The four moves, in order
- 1. Separate your money. Open a free second account just for music. Income in, expenses out. This alone makes bookkeeping and the hobby-vs-business case dramatically easier.
- 2. Track everything. Log income as it lands and keep receipts for expenses. A simple spreadsheet or a cheap app beats a shoebox — and beats memory by a mile.
- 3. Set money aside. Every time you get paid, move a slice (many artists start at 25–30%) into a “taxes” account and don't touch it. It was never really yours.
- 4. Know when to call a pro. When the money gets real, multiple income streams stack up, or you're weighing an LLC — a CPA usually saves you more than they cost.
Start this week, not at tax time
The artists who get crushed in April are the ones who start thinking about taxes in April. The ones who coast set the system up early and let it run all year. None of the four moves takes more than an afternoon to start — and they compound.
When it's time for a CPA
A good CPA isn't just for the rich. If your music income is growing, you've got shows in multiple states, you're getting a stack of 1099s, or you just want the peace of mind, a professional can find deductions and dodge penalties that more than cover their fee. Done Deal Digital can connect serious artists with a vetted CPA — start here.
This is general education, not tax advice — Done Deal Digital isn't a CPA firm. Your situation depends on your income, state, and records. For advice on your numbers, work with a qualified CPA.
That's the short version
Get the whole system in one read
Your Music Is a Business turns these four moves into a step-by-step setup — the accounts, the tracking, the set-aside habit, and the signals that tell you it's time to bring in a pro.
Get the Guide — $39 →Or get all seven tax guides in one — The Complete Tax & Money Guide, $99 →