Short answer
Keep a record of all the income you receive, all the business expenses you pay, and the evidence behind them, such as receipts, invoices, and bank statements. Note the date, amount, and purpose of each. Good records let you claim every legitimate expense and prove your income if you're ever asked.
Income records
- Every payment you receive, with the date, amount, and source
- Invoices you've issued
- Bank statements and payment alerts
- Records of cash sales
Expense records
- Receipts for stock, materials, and supplies
- Transport, data, and other running costs
- Rent and utilities for your business space
- Equipment and tools
- Bank and payment platform fees
Why expense records matter most
Business income is taxed on profit. An expense you can't show is an expense you can't claim, which means paying more tax than you should. See whether you pay tax on side hustle income.
How long to keep them
Keep your records for several years. Six years is a common rule of thumb, but confirm the current requirement with a tax professional.
Keep them organized as you go
Sorting a year of crumpled receipts at filing time is painful. Recording each transaction when it happens, with a photo of the receipt, keeps everything ready. See how often to record income and expenses.
These records do double duty
The same records that support your tax filing are what you'd use to prove your income without a payslip, for a landlord, a loan, or a visa.
Please note
This is general information, not tax advice.
Doing this in Gripd
Gripd keeps a dated record of every income and expense, organized by hustle and category. On the Pro plan you can scan receipts straight into entries and export everything to a CSV file for your accountant.
Last updated 29 Sept 2026
Related questions
Do I pay tax on side hustle income in Nigeria?
Yes. Under the tax laws that took effect in Nigeria on 1 January 2026, income from a side hustle counts as part of your personal income and is taxable, together with any salary you earn. However, the first ₦800,000 of annual taxable income is taxed at 0%, and business income is taxed on profit after allowable expenses, so good records directly lower what you owe.
Read the full answerHow do I prove my income without a payslip?
Use bank statements showing regular deposits, invoices and receipts you've issued, contracts or letters from clients, and a clear summary of your income over the last six to twelve months. The more consistent and organized your records, the more convincing they are. Keeping records from the start makes this easy when a landlord, embassy, or lender asks.
Read the full answerHow much tax will I pay under Nigeria's new tax law?
From 1 January 2026, Nigerian personal income tax is charged in bands: 0% on the first ₦800,000 of annual taxable income, 15% on the next ₦2.2 million, 18% on the next ₦9 million, 21% on the next ₦13 million, 23% on the next ₦25 million, and 25% on anything above ₦50 million. Each rate applies only to the income within its band.
Read the full answerTrack it all in one place
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