There are two methods to calculate the home office deduction:
Regular Method: This involves calculating the actual expenses of your home office, including mortgage interest, insurance, utilities, repairs, and depreciation. You need to measure the square footage of your home office space and divide it by the total square footage of your home to find the percentage of your home that is used for business. Simplified Method: The IRS also offers a simplified option, which allows you to deduct $5 per square foot of your home used for business, up to a maximum of 300 square feet.