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    • potterspury
    • By potterspury 16th May 17, 11:26 PM
    • 34Posts
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    potterspury
    Paying for your pension through your business bank account and running business?
    • #1
    • 16th May 17, 11:26 PM
    Paying for your pension through your business bank account and running business? 16th May 17 at 11:26 PM
    I have a bank account I only use for putting money from my self employed business. Should I pay for my self employed pension from that account, so it's clear for tax purposes?


    Also, should I pay lots of my cash into this bank account as I get paid so much in cash? If I bought a van for a few grand would this minus all the cash I pay in as well?
Page 1
    • dunstonh
    • By dunstonh 17th May 17, 12:40 AM
    • 88,772 Posts
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    dunstonh
    • #2
    • 17th May 17, 12:40 AM
    • #2
    • 17th May 17, 12:40 AM
    I have a bank account I only use for putting money from my self employed business. Should I pay for my self employed pension from that account, so it's clear for tax purposes?
    As you are self-employed, it makes no difference whatsoever as you can only make individual contributions. It does on limited companies but you wouldnt be self employed then.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • wooder
    • By wooder 17th May 17, 8:54 AM
    • 72 Posts
    • 50 Thanks
    wooder
    • #3
    • 17th May 17, 8:54 AM
    • #3
    • 17th May 17, 8:54 AM
    I have a bank account I only use for putting money from my self employed business. Should I pay for my self employed pension from that account, so it's clear for tax purposes?


    Also, should I pay lots of my cash into this bank account as I get paid so much in cash? If I bought a van for a few grand would this minus all the cash I pay in as well?
    Originally posted by potterspury
    These are questions that you should be asking your accountant and he/she will be able to point you in the right direction as they are not financial advice but rather information regarding tax planning and general business affairs.

    If you do not use an accountant then I think it would be beneficial for you to get one - I was self employed, and latterly director of my own limited company, for nearly all of my working life and could not have managed my financial affairs without a good accountant.

    I used a large firm of accountants from my local town, who had a good reputation, and because they weren't fly by night back street boys the tax man tended to leave them alone. I never had a tax inspection in over forty years of trading (I'm retired now).
    Last edited by wooder; 17-05-2017 at 2:14 PM.
    'I remain amazed at the number of people who talk about investment and spend most or all of their time talking about asset allocation, regional allocation, sector weightings, economic forecasts, bonds vs equities, interest rates, currencies, risk controls... but never mention the need to invest in something good.'
    • potterspury
    • By potterspury 18th May 17, 1:28 PM
    • 34 Posts
    • 2 Thanks
    potterspury
    • #4
    • 18th May 17, 1:28 PM
    • #4
    • 18th May 17, 1:28 PM
    These are questions that you should be asking your accountant and he/she will be able to point you in the right direction as they are not financial advice but rather information regarding tax planning and general business affairs.

    If you do not use an accountant then I think it would be beneficial for you to get one - I was self employed, and latterly director of my own limited company, for nearly all of my working life and could not have managed my financial affairs without a good accountant.

    I used a large firm of accountants from my local town, who had a good reputation, and because they weren't fly by night back street boys the tax man tended to leave them alone. I never had a tax inspection in over forty years of trading (I'm retired now).
    Originally posted by wooder

    Good advice thanks. I am pretty small time on tax credits - doing gardening etc that's why I was going to try and do it myself. Maybe just go and have a chat with a few. My brother has done it himself all his life as a bathroom fitter and never been investigated.
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