Thinking of going part time self employed

elantan

Hi all,

Wonder if you can help or point me in the right direction, I currently am employed part time but am thinking of also doing part time self employed work, I would be both working from home but also travelling to clients houses.

Can I ask both what do I need to do to keep me legal and above board? Also what can I claim back? Can I for instance claim something towards my mobile phone use age ? Also my broadband? And diesel mileage?

How much do I have to earn before paying national insurance ? ( I already pay national insurance on my employment for my employment ... But understand I need to pay more for self employment as well)

Should I out the tax part of the money I earn in a seperate bank account ? Can I use an old bank account for the business


Also how would I go about pension contributions from the part time job? Could I for example pay all my wage into a pension? Would the tax man still be looking for tax money if I do ( I don't intend on doing this just trying to understand how the system works)

I have started looking into it because of the idea of a wood boiler, I think I may have got lost down a rabbit hole somewhere along the lines lol


I don't see me making much money and tbh I am not looking to make tonnes either, just enough to get by an pay the bills ... Hence the idea o part time self employed
What other things can I claim for ?

zygurat789

You need to register with HMRC that you are now in receipt of self employed income.
You may claim, against this income, any expense which is incurred wholly and exclusively in earning that income.
There is no lower limit below which you do not have to pay class 2 NI but there is an exception, which you have to apply for, so that you may not pay if your net income is below £5725 in 2013/14.
It is always a good idea to put money by for a known future liability and suince we live in a free country you can save it where you like. It is also good practice to keep a separate business bank account.
You have to be careful with pension contributions, first you need to pay the bills. Contributions tend to be paid net and the scheme applies to HMRC for the tax thereon, so there is no direct tax reduction but you contribution is increased by 25%..

elantan

Thanks zygurat I deff have a lot to organise, will try an sort some stuff for this week , it will keep me busy