new buisness help needed

WHA

Pondasher wrote:

devmcc is quite correct. I have been registered self employed for almost two years and when I didn't receive a self assessment form I contacted the local tax office and they suggested I attend the course (just half a day in my case). It was very useful - also there was a hairdresser, dog groomer, ebay trader, etc.

You may not need an accountant If you keep a record (e.g. Excel spreadsheet) of incomings and outgoings. The course will cover car milage, etc. After the course I completed the on-line tax return with ease.

I don't think anyone has mentioned registering as self employed. This is worth doing as you pay lower (Class 2) NI contributions.

Hope this helps and good luck with your venture.

OK if you appreciate that the HMRC courses won't be giving you any tax planning/reduction tips or any legal loopholes - they are there just to tell you how to comply with the law.

As for NIC, the self employed class 2 NIC is "in addition" to any NIC you pay as an employee and there is also class 4 NIC at 9% on profits over £5,035, so basically, NIC is just more tax and not a benefit as suggested, and class 2 NIC is compulsory if your self employed earnings are over ~ £4,000 or so. So if you are employed and self employed earning more than £5,035 from each, you will find yourself paying three different types of NIC for no extra benefits!

Encantador

Hi AMMONITE,

I am starting the same business. Drop me a PM, maybe we can share some ideas.

Good Luck

greyteam1959

Very simple really.....get an accountant straight away.
If you get an accountant at the outset they will tell you exactly what system to use ( probably Sage ) so you will keep the right records right from the start.
If you want to concentrate on your business you need an accountant to keep up with all the complex legislation that is showered on a small business.
You will not have the time to devoted to both I can asure you.
Even the calculation of wages is getting so complicated these days its ridiculous.

If you liked book keeping that much you would have become an accountant not a photographer!!!!