self employed...what now?

natasha1989

Hey guys, iv just started my own business I have clients ready and waiting and I'm eager to start! Thing is the self employment forms are confusing me. I could earn between £110 (min) to £700 a week depending on how well the business does but on the weeks when business is not so great or I am too sick to work am I entitled to any benefits? Also I'm worried about being hit with a gigantic tax bill every 6 months. I would love some advice from those in the know! Ps I do not intend on hiring staff it's just me going it alone

Teahfc

Congratulations, I trust you have done a business plan ?
Have you signed up and set up D/D for National insurance contributions ?
To budget for your tax bill (you will not get one until the end of January) set aside in a savings account separate from your business account 1/3rd of all earnings.
Have you been to the bank and opened a business bank account and getting minimum 12 months free banking ?
Regarding if business is slow or you are sick then you have to budget for that also. I guess someone could add to this as I am no way a benefits specialist.

Good luck, hope you stay healthy and run a very successful business

Suarez

If you have only just started trading when did you register for self employment? If you registered in March you will have to do a return in January 15 whereas if you've registered today or yesterday you can have your year end to Mar 31st Next year and not have to do a return until January 16.

If you don't have another job and are solely doing this then you will not need to put as much aside for tax as you will have £10k personal allowance to use. It's a good idea to regularly keep up to date with the bookkeeping so you have a rough idea of profits and your likely tax position.