Question Re Self Employed

cheeky841

I have today registered as self employed. I have been told I do not need to pay NI as I dont see myself making the amount they specified to me on the phone, and currently pay NI with my full time job. I have a number to ring about the amount of tax I need to be putting to one side but I think this approx 20%. My question is I assume I only need to register as self employed once even if Im doing Betterware and Partylite? The man at the hmrc seemed to think so but I wasnt sure if he understood me. Im guessing it all goes on one tax return. Obviously Ill be keeping detailled records for both though. Im very organised so that will be fine.

max2009

You only need to register once to say you are self-employed.Keep receipts for everything.

bumblebee23

Don't forget to claim all your expenses back from your tax too, anything you have to purchase so that you can do your work you can claim back. Such as petrol etc

lozza1985

I would imagine so as you can just combine all your self-employed incomes into one tax return. You will definately only need to pay one lot of NI though, that's what the lady explained to me when I registered.

lozza1985

Are they sending you a Small Earnings Exemption form in order to exempt yourself from paying NI? Also, I've been sent a letter giving me info on free courses they run at local tax offices where they go through the kinds of things you can put as costs. This will make your earnings appear lower in order that you won't pay as much tax.

cheeky841

Thanks Lozza

Yes they are seding me a form to fill in for the exemption certificate.

I saw those courses on there website so have applied for both to do with self employment

natashasprite

And do all your tax return stuff online its soooooo much easier!
And no you do not have to pay National Insurance if below threshhold.

heidiseeky

i registered as self-employed last feb and although i was under the threshold i was advised to pay class 2 voluntary NI contributions in order to entitle me to benefits should i need them in the future.

also, i didn't receive anything about any courses, i think this could be quite useful for me, who do i contact to find out about them?

cheeky841

I am only not paying the class 2 because I am under the threshold and because I pay NI in my fulltime job. If you do not have a full time job inwhich you pay NI then it is recommended to pay the Class 2 as they said to enable you to claim benefits etc in the future.

I found the courses on the website - this is the link - http://www.hmrc.gov.uk/bst/map.htm

Hope this helps

Duncan_H

max2009 wrote: »

You only need to register once to say you are self-employed.Keep receipts for everything.

Just wanted to reiterate this great point - keep receipts for EVERYTHING!

I've been stung before, so now keep them all in a draw just in case

googler

Keep them in a file.
In date order.
Possibly classified by type (petrol, stationery, etc)

If you use your car for personal use as well as business, you need a mileage book to record which journeys are which to be tax-deducted accordingly (see HMRC website for alternatives)