self employed second job tax question

scottishf

I currently work full time and want to take on a second job where I will be paying my own tax. How do I go about declaring this....do I pay 20% tax on all my earnings ? Do they bill me at the end of the financial year ? Wondering if it is really worth it ?

HappyMJ

You get 80% of the profit and you are asking if it's worth it?

Piggybanker

You have to register as self employed and then complete a tax return each year. They calculate how much you own and it has to be paid in Jan (and June I think if big enough for 2 installments) or I think you can choose to have your tax code changed so it comes off each month through your other job. I never went for that option as the amount I made each year was always so different.

mlp

you will need to register as self-employed. You will be asked to fill in a tax return at end of financial year where you will need to complete an employment section (for your employment) along with details on your self-employment. Tax due will be based on your total earnings. But yes, roughly, 20% of your self-employed income will be taken in tax as your personal tax allowance is used up on your employment.

That's assuming you're not in the 40% tax band

scottishf

HappyMJ wrote: »

You get 80% of the profit and you are asking if it's worth it?

Profit.......not the word I would've used but hey ho