Becoming Self Employed

lucylema

Morning gang

This maybe is in the wrong place but here goes....

I am unemployed at the moment but am registered with an agency but only occasionally get work.

I love selling my unwanted stuff on ebay and get a real buz when anything sells. I would like to do this more and include buying more and selling more. I think I need to register myself as self employed but not exactly sure what to do. I know its hit and miss on there but this is just a basic start.

I will keep details/invoices of everything i buy and sell so I Know where I am but what else should I do? I want to start this as of 1st Jan. I have bought some bit already (very low spend). How do I work out my tax and NI?

Help would be very much appreciated.

fuzzball172

Register as self employed with HMRC (tax office) and they will send you your UTR (Unique Tax Reference) number. Then at year end they send you a self assessment form. This form asks for info about your self employed activities. It then tells you what calculations you need to do, then you can work out what you owe. I put 28% of the profit from every invoice in a savings account over the year, that way I have no nasty surprises when I do my calculations.
You can also rgister to submit your assessment online, and your PC does most of the calculations for you.

Good luck