help- avon and a paye job.

Savvy_Sue

anamenottaken wrote: »

It has to be profit (ie after deducting costs from turnover).

Yes, I know that, but what I didn't know (but do now) is whether carebear's estimate of £1000 was profit or gross. I think she MAY be above the limit for small earnings exemption, but that depends how much she can claim for expenses, validly.

carebear13

savvy sue- do you mean including m,y paye earnings plus my avon.or just avon- i think it is if you earn over £5000ish but think its just for self employment so knowhere near that with avon- would love to be though lol.

LittleVoice

carebear13 wrote: »

savvy sue- do you mean including m,y paye earnings plus my avon.or just avon- i think it is if you earn over £5000ish but think its just for self employment so knowhere near that with avon- would love to be though lol.

"small earnings" is in relation to your self-employment (Avon) and your liability to NI

tax liability is in relation to all your income - self-employment, PAYE, interest, dividends

Savvy_Sue

^^ what s/he said.

You'd need to check, but I don't think there are penalties for getting it wrong wrt the small earnings exemption for your NI.

Having said that, it's not usually worth paying if you are paying NI in your PAYE job, but I guess that this year you may not be paying NI, at least not for the whole year.

OTOH, if you are claiming Child Benefit, then you get Home Responsibilities Protection, which means that at least for the purposes of state pension contributions you're covered.

As you can see, your situation is slightly more complex than it first appears to be!!!

carebear13

hmm yes it does- why cant anything be simple lol.
if i decide to opt out of the small earnings, can i opt 'back in' if my paye job hours reduce to below the lel?
or because of claiming c/b does it not make any difference?