Software, SaaS & apps

Books and taxes for WordPress plugin and theme developers.

A license renewal batch, a CodeCanyon payout, a free plugin on WordPress.org that costs you support time but earns nothing directly, and a contractor invoice. Your own bookkeeper sorts it, an accountant checks every transaction, and you get one number a month.

Book a call What we handle
  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
JuneExample month
$12,900
what you made

June made $12,900. Annual license renewals came due in a batch this month, so I flagged the ones that cover the next twelve months rather than counting the whole batch as June income.

  • Freemius payoutLicense and renewal revenue
  • Envato Market payoutMarketplace sales
  • Contract developer, UpworkContract development
  • Cloudways hostingHosting and testing environments
  • Envato author feeMarketplace fees
Money in$19,800
Money out$6,900
Set aside for taxes$3,200
An example month. Yours will have your numbers.

Why your books are different

WordPress plugin and theme books go wrong around renewals and free tiers.

A generalist bookkeeper sees a licensing payout and calls it done. Your money comes from annual renewals that arrive in batches, a free tier that earns nothing but still costs support time, and marketplace sales with their own fee structure. When the books miss that, the monthly number does not reflect the real business.

  1. 1

    Annual renewal batches land as one lump sum

    Licenses that renew yearly often come due around the same time for many customers, and a whole year's worth of renewals landing in one month makes that month look unusually strong and the surrounding months look weak.

    What we doFlags renewal batches so a strong month is understood as renewals coming due, not sudden new growth.
  2. 2

    The free version costs money it never earns back directly

    A free plugin listed on WordPress.org drives support tickets, forum questions, and compatibility testing, all real costs, with no direct revenue tied to that version at all.

    What we doTracks support and maintenance time against the paid pro version's revenue, so the free tier's real cost to the business is visible.
  3. 3

    Marketplace fees and license fees get confused

    A sale through CodeCanyon or a similar marketplace has its own commission structure, different from a direct sale through your own site using Freemius or Easy Digital Downloads, and mixing the two hides which channel actually pays better.

    What we doKeeps marketplace sales and direct license sales in separate categories so you can see which channel is actually worth the effort.
  4. 4

    A major WordPress core update triggers a wave of support costs

    A new WordPress or PHP version can break compatibility across your plugins, and the contractor time or your own hours spent fixing it look like a routine dev bill rather than an unplanned cost tied to one event.

    What we doNotes when a dev cost is tied to a core compatibility fix, so it reads as an event-driven cost, not routine feature work.

Your categories

The categories Gus keeps for a WordPress plugin or theme developer.

Set up once for how you get paid and what you spend. You never pick a category. He does, and an accountant checks it.

Money in

  • License and renewal revenueFreemius, Easy Digital Downloads, or a similar direct licensing payout.
  • Marketplace salesCodeCanyon, Envato Market, or a similar marketplace's payout.
  • Support and customization feesPaid help for a customer installing or extending the plugin or theme.
  • Affiliate revenueReferral commissions from hosting companies or tools recommended in your docs.

Money out

  • Contract developmentUpwork, Codeable, or a direct invoice for feature work or bug fixes.
  • Hosting and testing environmentsCloudways, WP Engine, or local testing environments for every supported WordPress version.
  • Marketplace feesThe commission Envato or a similar marketplace keeps on each sale.
  • Support and documentation toolsHelp desk software and documentation sites for customer support.
  • Licensing and payment infrastructureFreemius or Easy Digital Downloads fees for handling licenses and renewals.
  • Design assetsIcons, stock images, and fonts used in themes and plugin interfaces.

What we watch for you

  • Renewal revenue trend

    How much of each month's money in comes from renewals versus new sales, tracked from the deposits themselves.

  • Marketplace fee share

    What a marketplace keeps out of every sale dollar, worth comparing against direct sales through your own site.

  • Support cost against free downloads

    Time and tools spent supporting the free version, worth watching against what the pro version brings in.

  • The set-aside

    What you will owe, tracked every month including renewal batches, so a strong renewal month never throws off the number.

Ask Gus

Things WordPress plugin and theme developers ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

June's payout is way higher than usual. Did something change?

A batch of annual renewals came due this month. I flagged it so it reads as expected renewal revenue, not a sudden jump in new customers.

My free plugin on WordPress.org gets thousands of downloads but no revenue. Is that a problem for the books?

It is not a problem, but I track the support time it costs against what your pro version earns, so you can see the real trade-off.

A new WordPress version broke two of my plugins and I had to pay a contractor to fix them fast. Does that count differently?

I note it as a compatibility fix tied to that update, so it does not blend into your normal monthly dev spend.

The tax side

The tax side of running a WordPress plugin or theme business.

Most of what matters here is timing renewal revenue correctly and keeping marketplace and direct license sales sorted so the return reflects the real business.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • 1099-K from marketplaces and processorsEnvato, Freemius, and similar payment processors report volume once it crosses $20,000 and 200 transactions in a year, but every dollar earned is taxable whether or not a form arrives.
  • The pass-through deductionA plugin or theme business run as an LLC or sole proprietorship can usually deduct up to 20 percent of its licensing and marketplace profit before that income hits your personal return.
  • Self-employment tax on renewal incomeRenewal revenue collected as a sole proprietor or single-member LLC owner is still subject to 15.3 percent self-employment tax on top of income tax, the same as a first-time sale.
  • 1099-NEC for compatibility fixesA contractor paid $2,000 or more in 2026 to patch a plugin after a WordPress core update, and not on payroll, gets a 1099-NEC by January 31. Gus tracks it the same as any other project.

Deductions WordPress plugin and theme developers miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • Contract development
  • Hosting for testing environments
  • Marketplace commission fees
  • Licensing infrastructure fees
  • Support desk software
  • Design assets and stock images
  • Home office, business share
  • Business phone and internet share
  • WordPress conference tickets
  • Course and community memberships
  • Business insurance
  • Accounting and legal fees

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

A WordPress plugin developer's year, kept every month.

Renewals cluster around their own anniversaries all year, not just at tax time. Your team keeps the books current through the quiet months and the renewal batches alike. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the renewal year

    Last year's return gets started, the contractor 1099 list is finalized, and a monthly set-aside gets planned around the renewal batches you expect this year.

  2. April

    Filed before summer lull

    Your return is filed and signed. No surprise bill, because the set-aside built from license and renewal revenue has been running since January.

  3. July

    Halfway renewal check

    Where you stand, what you will owe, and whether a spring WordPress core update drove extra support costs worth noting.

  4. October

    Before the last quarter

    A look at any tools or licenses worth buying before December, and whether the set-aside still matches how renewals are trending.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for WordPress plugin and theme developers. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions WordPress plugin and theme developers ask first.

My revenue spikes when annual licenses renew. Does that mess up my taxes?

It does not change what you owe, but Gus flags renewal batches so your set-aside is planned around the full year's pattern instead of one strong month.

I sell through both CodeCanyon and my own site. Does Gus keep those separate?

Yes. Marketplace sales and direct license sales get their own categories so you can see which channel is actually worth the effort and the fees.

My free plugin on WordPress.org does not make money directly. Should I still track its costs?

Yes. Gus tracks the support and testing time it costs against what your paid version earns, so the free tier's real value to the business is visible.

I do not have an LLC, just a sole proprietorship. Does that limit what Gus can do?

No. Gus books your sole proprietorship the way it is, and the accountant can tell you if a different structure would help once your renewal revenue grows.

A WordPress update broke my plugin and I had to pay someone to fix it fast. Is that deductible?

Usually yes, as ordinary contract development cost. Gus notes it as tied to that update so you can see what compatibility issues actually cost you.

My books have not been touched since I started selling on Envato. Can you catch me up?

Yes. Send the marketplace and bank statements you have. Gus sorts through it and the accountant checks it, and most developers know where they stand within a week.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

More in software, SaaS & apps

We keep books for the business next door too.

What makes a bookkeeper worth paying for Every business we keep books for

Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever