Micah Stanley - Invidious

One of the most overlooked benefits of owning vending machines is the tax advantages.

Here are 7 expenses you can legally write off when you start a vending machine business.

1 - Machine Depreciation

I use Section 179 to depreciate 100% of the value of a machine in Year 1.

This means if I finance a machine for 10% down ($300) I can still write-off the full $3,000.

2 - Vehicle

Every time you restock or service your machines, you’re using your vehicle for business.

You can deduct either:

* The standard mileage rate (67¢ per mile in 2025), or
* The actual vehicle expenses (gas, maintenance, insurance, and depreciation).

Even if you use your personal car, you can track business miles and write that portion off.

3 - Home Office

If you manage your vending business from home, you can deduct part of your home expenses.

That includes your rent or mortgage interest, utilities, and internet, proportional to the square footage used for your business.

The IRS also offers a simplified option that’s $5 per square foot, up to 300 sq. ft.

4 - Cell Phone

That phone you use to check sales, contact vendors, or locate new spots?

You can deduct that portion of your cell bill used for business.

If you have a dedicated phone line for the business, the entire cost is deductible.

5 - Internet

If you monitor machine status online or communicate with location owners via email, your internet counts as a business expense too.

Deduct the percentage used for business, or 100% if it’s dedicated solely to the vending side.

6 - Business Clothes

You can’t write off streetwear, but you can deduct clothing branded with your business name or required for your job.

Think company branded polos, safety vests, or work uniforms you wear while servicing machines.

7 - Business Meals

Networking lunches, scouting new locations, or meeting a property manager?

You can deduct 50% of the cost of those meals when they serve a legitimate business purpose.

Keep receipts and note who you met with and why…the IRS loves documentation.

Disclaimer: None of this is financial or tax advice. Always consult with a specialized financial advisor before taking out a loan and always consult with a specialized accountant before making any tax-related decisions.