Employed and self-employed

adnanabbas

i have been self employed for some time now and have made the decision to work full time for comex. what i wanted to find out was if i could be employed and self employed at the same time, as in i would work for comex during the day and carry on with my business during the evening. i also need to know how this would affect my tax credits. any help would be much appreciated.

Thank you

GlynD

You can certainly do both but I'm not sure how it would affect your tax credits as I know nothing about those. If it's income derived then obviously as your income climbs you could be putting it in jeopardy. Is there a threshold?

adnanabbas

i think its something like £5000 for the self employment. I absolutely wouldn't mind loosing my tax credits. i get £206 a month tax credits. i need to find out because i dont want to get into trouble with the tax man. i informed HMRC last month that i am in full time employment, but i still got my tax credits put into my account for this month. if this make sense.

Hammyman

Yes you can do both. Come self assessment time you will need to fill in a page for PAYE in addition to the normal ones.

The change in income will affect your tax credits the same as it would if your self employed profit came to the same amount.

adnanabbas

so i shouldn't be in trouble for the money they have put into my account?

GlynD

adnanabbas wrote: »

so i shouldn't be in trouble for the money they have put into my account?

If you're in doubt write to them and tell then how much has been paid to you by this company and how much you're earning in total.

adnanabbas

OK. thanks for all your reply's people

PlutoinCapricorn

Many people work on a self employed basis in addition to having a PAYE job. You will need to be careful with your new tax code though. Will you still earn enough from self employment to cover your personal allowance? If so, fill in a P46 telling your employer that you have another job.

As for tax credits, I think that you are required to notify them of any changes. I suppose it depends on how much you will be earning after the change.