Year-End Expense Review for Small Architecture Studios

To help them maximize deductions and improve financial planning, it's essential to review current expense policies and procedures in 2026. However, the specifics of expense reporting can vary depending on the company's policies and the number of employees. For example, some employers may require employees to submit receipts electronically, while others may prefer manual reporting. It's also common for employers to set a maximum per-user threshold for expense reporting, typically ranging from $10 to $20, depending on the industry and company size. For the bigger picture, see our guide to architecture expense management for under $10/user (2026).

Year-End Expense Review for Small Architecture Studios

Current Rules and Limits for 2026

• Federal Tax Return Deadline for 2025 Tax Year is April 15, 2026.
• A typical overhead rate for architecture firms falls between 150% and 175%.

QBI Deduction and Phase-In Ranges

Section 179 Expense Deduction and Limits

• The deduction is subject to limits and phase-in requirements.

Startup Costs and Tax Credits

• The IRS offers various tax credits for startup costs, including the New Market Tax Credit and the Research and Development (R&D) tax credit.
• The tax credits are subject to phase-in requirements and limits.

Startup Costs and Tax Credits

Year-End Expense Review for Small Architecture Studios

Current Rules and Limits for 2026

• The $5,000 startup cost deduction phases out dollar-for-dollar once total startup costs exceed $50,000.
• Estimated tax payment deadline for income earned Jan. 1 - March 31, 2026 is April 15, 2026.
• Estimated tax payment deadline for income earned April 1 - May 31, 2026 is June 15, 2026.
• 31, 2026 is September 15, 2026.

Startup Costs and Tax Credits

• Up to $5,000 in startup costs can be deducted in the first year of operation.
• The $5,000 deduction phases out once total startup costs exceed $50,000.
• The IRS has also provided information on the estimated tax payment deadlines for 2026.

Tax rules, limits and rates change. Confirm current figures with the IRS or your accountant before you file.