Working full time but want to go self employed help please!!

mumof2:D

Hi,

A little background first. I have 2 children one of which has just started infant school this week. My youngest is in nursery 5 days a week f/t a cost of £185 per week. My sons before and afterschool club is going to cost £160 per week.

I work in a fulltime job earning £900 a month. I have now told TC that my son has started school and that they need to renew my details as I am not longer entitled to the nusery fees for him.

I hate my job,i work in a different city,my travel costs are a nightmare,I have recently been bullied at work and I cannot stay, its getting me down to the point I cant sleep and im emotionally drained.

After all my bills,food,petrol etc are paid out i have 0 money left and it is not worth me doing this job anymore,travelling 2 hrs everyday.

I am fully qualified in another profession and really want to go down that route and be self employed.How does it work with my childcare. I really dont want to pull my daughter out of nursery as she loves it so much.

If I go self employed,how do I tell tax credits the amounts Im going to earn and how many hours as I wont be sure untill after a few months. How does it work with other benefits.

Any advice would be much appreciated,I cant seem to get my head round it.

Thank you

NWA

You would have to estimate your profit for your first year of trading for your tax credit application (most people setting up a new business/going self employed will have done (hopefully) some kind of forecast). Depending on whether your estimate is low or high when you get your actual figure you will have been under or overpaid which will then be adjusted in the following years award. What type of business are you considering? and have you got guaranteed work?

Estimating profits not unusual for this purpose, not everyone (probably the majority) have not completed their tax return/accounts in time for the deadline for submission of the tax credit application.

Good luck in your new enterprise and get yourself a decent accountant.

Hammyman

Not much to add to the above really. Until your invoices start getting paid/you start making money then if you are still going to have to pay for childcare as you would do now, you are in no better situation. The only benefit is if you are going to work fewer hours to keep your sons out of the pre-post school clubs.

FBaby

Do you live in London? £32 a day for wrap around care????? That's utter madness! I pay £14 a day and I think this is extortionate enough for less than 3 hours a day let alone more than double that......

WeParribiaFic

If you have the extra cash, would you put it on time deposit? Is it even worth doing?Will appreciate the help.. Thanks..

mumof2:D

Sorry I am a qualified beauty therapist,spray tan tech and nail tech. I have done these courses whilst working but have only offered treatments to my friends and family for no charge. They are my ginea pigs

I need to find a way to work out my maximum treatments I can do within a week and what profit that would bring in.

I seriously need to arrange some workshops and understand it better, my Dad is self employed so he is going to go through some things I have to do before I start. Just to help me get the jist of things.

I am going to go on the business link website now and go over that and any other research I can find.

My dad has said he knows a really good accountant so I will arrange a meeting with him.
I get paid from my current f/t job and I know my nursery fees will run on for 4 weeks after I quit work so now is the time to sort it all out.

This is so confusing for me so sorry if I sound stupid.

Thank you for all your advice x

mumof2:D

FBaby wrote: »

Do you live in London? £32 a day for wrap around care????? That's utter madness! I pay £14 a day and I think this is extortionate enough for less than 3 hours a day let alone more than double that......

Oh sorry, I mean £160 per month for wrap around so £40 per week but that is only 4 mornings and 4 afternoons.

My childcare used to be before last week £350 for both daughter and son to go to nursery 5 days a week. I had £250 paid for me by tax credits and had to pay £100 out of my wages bearing in mind I only make £232 a week and had to pay rent,ct,food,bills etc.

If I didnt have help from TC then I would be in the poop. xx