How to use deductions with Factofly

As a Factofly user, you have the option that the direct expenses you have in connection with your work can be part of the total finances for your employment with us, and you can thus be paid more. But what can you deduct and what can't you deduct when you use Factofly to manage your business?

How do deductions work?

As a Factofly user, we also give you the option that the direct expenses you have in connection with the work you invoice for can be included as deduction in the overall finances for your employment. In this way, we can help you get more of your own money into your hands.

Since you enter into a project employment with us, we are also the ones who are responsible for the deductions that are given. Therefore, a deduction is also only given if the expense is within the period you have used Factofly for invoicing, and is something that is directly related to the work you do via Factofly.

When we talk about deductions, we refer to an amount that can be deducted from a gross salary, thus helping to lower the level of taxable income.

Let's take an example:

You have an expense for the Adobe package, which is paid for one year at a time, but for example you only use Factofly in the first quarter, and again in September and October. In this case, we will divide your expense into 12, and can give you a deduction in those active months you use Factofly. It will be here for five months of the year.

How does it look in practice?

For example, if you invoice a customer for NOK 50,000 (ex. VAT), if you have a direct expense of NOK 10,000 (incl. VAT), you will be paid NOK 32,246 against NOK 26,808.80 without.

Deduction with Factofly

We have prepared one salary calculator, which can give you an idea of what your paid salary through Factofly looks like. Naturally based on your individual tax situation.

The expenses in connection with the project must be included in the so-called reasonable ratio to the revenues. Reasonable ratio means specifically that your expenses do not exceed more than 50% of your income.

What can I get a deduction for through Factofly?

The overriding rule of thumb for which expenses you can get a deduction for through Factofly is if the expense can be invoiced directly to the customer.

It is not always easy to find out what you can and cannot get a deduction for, then Contact us if you are in doubt as to whether your expense is deductible.

When we assess an expense, as I said, it is done on the basis of whether the expense can be directly related to the work you are invoicing for. In cases where the expense crosses private and business, it will, for example, only be partially deductible.

What can I does not get a deduction for through Factofly?

We cannot give deductions for expenses that:

  • Is outside a period when you have used Factofly to get paid
  • Not held by you
  • General expenses for e.g. office
  • Is issued for your (old or current) CVR number
  • Not related to your profession/work
  • Deals with courses/education outside your field (for example, digital marketing if you have a background as an accountant)
  • Relates to food and drink

The list here is not exhaustive, but if you know in advance that your expenditure is in the gray area, it will be more difficult for us to include it in the overall finances for your employment.

Are there any special conditions I should be aware of?

There is a magic limit with Skat of DKK 3,000. For expenses you have below that, you simply have to save your receipt - in good Danish also known as a cash receipt. Do you have expenses of more than DKK 3,000 per device, so contact us before you bear the cost, as we need more details about the purchase here.

Easy handling of attachments

When you have a work-related expense, make sure to save the receipt.

You take a picture of your attachment and upload it easily and simply under your profile's menu item called "deductions".

upload attachments at factofly

Discover Factofly's others features

The cornerstone of our service is your ability to invoice without having to register your own company.

Fast
payment

We pay your money directly to your account card within 48 hours after we receive it from your customer.

When you carry out a task under us, your back is covered and you are automatically insured during work.

Administration on autopilot

We take care of all the boring stuff: collecting the money, arranging VAT, tax, insurance and holiday pay.

Administration on autopilot