self-employment help please

zam121

hi any advice would be great. i registered as self employed in may this year as a takeaway delivery driver.its coming near to the self assesment time and just needed to know a few thing please.

i make about 40 pound a night for 5 hours which is 5 days a week. which works out to be about 800 a month and 9600 a year.so do i just write this on the form? as it says keep invoices etc i dont get any as it cash in hand.

InsideInsurance

You should be generating the invoices not getting them.

If you only registered for self employment May 2012 then there is no self assessment for you, it will be done by Jan 2014 for the period April 2012 to April 2013.

You need to keep accurate records of when your working and how many hours etc. You ideally should raise invoiced for these but its up to you if you do it "now" or do it if HMRC decide to investigate you

zam121

but how do u mean keep invoices i work thusday to monday. and get paid cah in hand it is more or less 38-42 pound a night. the money does not go in to my bank account as i use it to pay bills etc.

InsideInsurance

So you are paid weekly....

Keep an excel document logging the number of hours you work each week and the amount of cash received.

Download an invoice template and simply enter in the details of who you are, your client etc, the date etc and the service given and the amount charged.

You can either do the invoice template bit now and have them all saved and "ready" or you can ignore it for now and if HMRC ask for them, generate them then.

Evidently if your claiming any expenses you need to keep the receipts/ invoices received for those in addition to the invoices you generate for the work done

zam121

thank you. so bsically i deliver food for a company i charge client the amount for the food and 2pound for the delivery i give company the money for the food but keep the 2 pound. i get paid daily. the only expense i would claim back is my petrol. but havent got many receipts for the fuel.by the way thanks for the advice. should have really got a accountant but i though seeing as i am not earning much didnt really want to pay the account a fee too

Uncertain

zam121 wrote: »

the only expense i would claim back is my petrol. but havent got many receipts for the fuel.by the way thanks for the advice. should have really got a accountant but i though seeing as i am not earning much didnt really want to pay the account a fee too

You need to get some decent advice, either free or it may be cheaper overall to pay for it.

Your costs are much more than just your petrol (and get a receipt every time)! What about wear and tare on you car? You should be able to claim the total costs of running your car, less a reasonable proportion for your private use. Do you have to make phone calls to arrange jobs? A couple of hundred a year for a small accountant could be money well spent. You are far less likely to get investigated by HMRC and it will likely save you more than the cost in reduced tax.

ILW

Uncertain wrote: »

You need to get some decent advice, either free or it may be cheaper overall to pay for it.

Your costs are much more than just your petrol (and get a receipt every time)! What about wear and tare on you car? You should be able to claim the total costs of running your car, less a reasonable proportion for your private use. Do you have to make phone calls to arrange jobs? A couple of hundred a year for a small accountant could be money well spent. You are far less likely to get investigated by HMRC and it will likely save you more than the cost in reduced tax.

Petrol receipts are not relevant, unless the vehicle if used 100% business use only. Mileage log will be required in this case.

joolsybools

Should you be self-employed if you are working for the same employer 100% of the time?

joolsybools

You can check your status here http://www.hmrc.gov.uk/employment-status/index.htm