One of the most common questions we get from online coaches is: what can I actually claim? The answer, when you dig into it, is quite a lot. But many coaches miss out on legitimate deductions simply because they’re not sure what counts.
This guide covers every major expense category for UK-based online coaches, with practical examples throughout.
The Basic Rule: Wholly and Exclusively for Business
HMRC allows you to deduct expenses that are incurred wholly and exclusively for the purposes of your business. If something has a personal element (like your personal mobile phone), you can usually only claim the business proportion.
You need to keep records of your expenses for at least five years after the 31 January filing deadline for the relevant tax year. Digital records, bank statements, and accounting software exports all count. You can find HMRC’s guidance on record-keeping at gov.uk/self-employed-records.
Software and Digital Tools
As an online coach, your software costs are likely one of your biggest overheads, and almost all of them are fully deductible. This includes:
- Video conferencing: Zoom Pro, Google Workspace, Microsoft Teams
- Coaching platforms: Paperbell, CoachAccountable, Practice, Satori
- Course and membership platforms: Kajabi, Teachable, Thinkific, Podia
- Scheduling: Calendly, Acuity Scheduling, TidyCal
- Email marketing: ConvertKit, Mailchimp, ActiveCampaign, Flodesk
- CRM: HubSpot (free or paid), Dubsado
- Design: Canva Pro, Adobe Creative Cloud
- Project management: Notion, Asana, ClickUp
- Cloud storage: Dropbox, Google Drive (paid tiers)
Keep your subscription receipts or set up your accounting software to pull these in automatically from your bank feed.
Marketing and Lead Generation
Anything you spend to attract clients and grow your business is a marketing cost and is deductible:
- Paid advertising: Meta Ads (Facebook and Instagram), LinkedIn Ads, Google Ads, TikTok Ads
- Website: hosting, domain registration, WordPress themes, Squarespace or Wix subscriptions
- Copywriting or content creation fees paid to freelancers
- Podcast hosting (Buzzsprout, Captivate, Podbean)
- Video production or editing software
- Branding, logo design, and photography shoots for your business
- PR costs or press release distribution
Professional Development and Training
Investing in your skills and credentials is a legitimate business expense, provided the training relates to your existing coaching work. This includes:
- ICF accreditation programmes and renewal fees
- Supervision sessions (a requirement for many coaching bodies)
- Masterminds, group coaching programmes, and retreats where the focus is professional development
- Books, podcasts (paid subscriptions), and industry publications
- Conferences and events (entry fees, travel to attend)
Note: if you’re training to move into a completely different profession, HMRC is less likely to allow this. But anything that builds on or maintains your existing coaching practice is generally fine.
Home Office Costs
Most online coaches work from home, at least some of the time. If that’s you, you can claim a proportion of household costs as a business expense. There are two methods:
HMRC Flat Rate
- 25 to 50 hours worked from home per month: £10 per month
- 51 to 100 hours: £18 per month
- Over 100 hours: £26 per month
This is simple to claim but often undervalues the actual cost.
Actual Cost Method
Work out what proportion of your home is used for business (e.g. one room out of five), then claim that fraction of rent or mortgage interest, utilities, broadband, and council tax. This usually results in a higher deduction if you have a dedicated workspace.
HMRC’s simplified expenses guidance is available at gov.uk/simpler-income-tax-simplified-expenses.
Equipment and Technology
Larger one-off purchases are treated as capital expenditure but can still be fully deducted in the year of purchase using the Annual Investment Allowance (AIA):
- Laptop or desktop computer (business use proportion if shared with personal use)
- Webcam, microphone, ring light, or studio lighting
- Second monitor, standing desk, ergonomic chair
- External hard drives or NAS storage
- Headset or earphones used for calls
If an item is used partly for personal purposes, only claim the business proportion. The Annual Investment Allowance covers up to £1 million of expenditure per year, which is far more than most coaches will ever spend.
Phone and Broadband
If you use your personal phone and broadband for work, you can claim the business proportion. A reasonable approach is to estimate the percentage of time the phone is used for business calls, messaging, and admin, and claim that fraction of your bill.
If you have a dedicated business phone or SIM, the full cost is deductible.
Travel
If you travel for business reasons (to client meetings, events, or a co-working space), travel costs are deductible. For car journeys, HMRC approved mileage rates apply:
- 45p per mile for the first 10,000 business miles in a tax year
- 25p per mile thereafter
Keep a mileage log. Apps like MileIQ or a simple spreadsheet work well. You cannot claim for travel between your home and a regular, fixed place of work.
Train, bus, and plane fares for business travel are fully deductible on the actual cost.
Professional Fees and Insurance
- Accountancy and bookkeeping fees (including what you pay Simplr)
- Professional indemnity insurance
- Public liability insurance
- Legal fees related to the business (e.g. reviewing coaching contracts)
- Coaching body membership fees (ICF, EMCC, AC)
How to Track All of This
The easiest way is to use cloud accounting software connected to your business bank account. Transactions come in automatically, you categorise them, and at year-end everything is already organised for your tax return.
At Simplr, we set this up for all our coaching clients as part of our onboarding. No spreadsheets, no shoeboxes of receipts, no last-minute panic.
You might also find our guide to self-assessment for online coaches useful if you’re approaching your first return. And for a broader overview of how we support coaches, visit our online coaches page.
Make Sure You’re Claiming Everything You’re Entitled To
If you’re not working with an accountant yet, there’s a good chance you’re either overclaiming (a risk) or underclaiming (leaving money on the table). Either way, getting it right matters.
Book a free discovery call with Simplr Accounting at simplraccounting.co.uk and we’ll review your setup and make sure your expenses are working as hard as they should be.