Accounts and taking someone on.

chris_spackman

Hi everyone and hope you are all doing well in these rough times.

Since Feb this year (when i started) i have been running a spread sheet for my income and outgoings which i am finding easy enough but have found that i could do with something more in respect of doing my books. I want to get an accounts software package but do not wish tio spend alot, £100 or so. The main reason for this is to have everything together such as customers and their payments so i can keep track in one place and not opening different spreadsheets. I would make a database of my own but do not know how to do so if you ccan advise on anything that would be great.

I would also like to know that as a sole trader can i take on people to work for me, do i need to tell HMRC and start giving them details of who i take on, they will be earning less than £115 per week. This is another reason for the software package so i can keep tabs on wages etc paid to me or anyone else!

Paulgonnabedebtfree

chris_spackman wrote: »

Hi everyone and hope you are all doing well in these rough times.

Since Feb this year (when i started) i have been running a spread sheet for my income and outgoings which i am finding easy enough but have found that i could do with something more in respect of doing my books. I want to get an accounts software package but do not wish tio spend alot, £100 or so. The main reason for this is to have everything together such as customers and their payments so i can keep track in one place and not opening different spreadsheets. I would make a database of my own but do not know how to do so if you ccan advise on anything that would be great.

I would also like to know that as a sole trader can i take on people to work for me, do i need to tell HMRC and start giving them details of who i take on, they will be earning less than £115 per week. This is another reason for the software package so i can keep tabs on wages etc paid to me or anyone else!

I'm not certain of the answers to this but if you are referring to employing someone on PAYE, you need to obtain proof that they are eligible to work and obtain ID proof. I don't know more than this as I have always remained a sole trader.
However, something I would recommend to anyone with a small business is to join the Federation of Small Businesses (FSB). It's £100 a year with a slightly higher first year fee and you can get good, reliable advice on the above issue and many other things along with free business banking via Co-op. Also for that £100 p.a. you get the accountancy fees paid if you are ever investigated by the IR (such fees are not tax deductible like other accountancy fees). Private insurance to cover such fees will usually cost more than £100 p.a. so it's woth joining for that alone IMO. Also, I believe that the £100 is tax deductible so will only cost about £72 in reality (assuming 20% tax and 8% NI).
I wouldn't know what software to suggest. As a sole trader I use MS Works (came free with the computer) and that is adequate for me. If you are entering the PAYE world, you may need something a bit more robust - even if there isn't sufficient income to deduct tax.

fengirl_2

£155 is the weekly tax limit. If they are earning over £105 pw, then NIC will be due. You should ring the new employer's helpline (number on the HMRC website) for guidance.

marybishop

I use Sage Instant Accounts for our business (only 2 of us) which I find very user-friendly and Sage have excellent customer support.

mikewebs

I would that you could get an accountant/book-keeper to do the work that ac accounts assistant does for far less.

Look at it this way:

Accoutns Assistant Annual Wages £12-14K (minimum)

Add in other employee costs - Employers NI etc and also supplying them with desk, lighting, heating etc.

Then think that some book-keepers will do the work for a lotless than that and they only charge by the hour - for hours worked so you are not (as in the case of an employee) paying for someone to sit around and paint their nails while they wait for some work to come in. Ask other traders to recomend an accountant/book-keeper. If you want to look for a book-keeper check out http://www.aat.org.uk/members/content/item2346/ for a local licensed member in practice. If you want a chartered accountant to do your work, check out: http://www.accaglobal.com/publicinterest/finding/.

Alternatively, why not take up the AAT course part time yourself and then you will be able to do your own accoutnign work! Just a thought..................

Anyway, if you are set on employing someone, you can employ as many people as you like - the Sole Trader refers to the ownership of the business. You have sole responsibility for the running of the business. HMRC and DWP will advise you on your responsibilities and how much it will cost you to employ someone.

as for accounting software - I would recommend one of the SAGE products. They are easy to use and also great for giving you in depth information on the business at the click of a mouse. (So long as you have entere the right figures in the right place!). It will keep all you suppliers and custoemes in order and you can get informaiton on all or some of them as you need it.

Maddie

I'd recommend Mind Your Own Business software (MYOB). Its really user friendly and not too expensive.

My parents use it for their business mainly to manage the customer database.

sammy115

You can download a programme called vt cash book for free.

http://www.vtsoftware.co.uk/cashbook/index.htm

It is easy to use and FREE!

ukbill69

sage instant accounts is good. Don't bother with line 50, waste of money.

£59.99 ex vat

http://www.sjsoftware.co.uk/products/?instant

Timmne

Maddie wrote: »

I'd recommend Mind Your Own Business software (MYOB). Its really user friendly and not too expensive.

My parents use it for their business mainly to manage the customer database.

MYOB's HORRIBLE!

It's the worst software I've had the misfortune to use!

ETA I'm an accountant and use loads of different bits of software; I'm not just a MYOB basher!