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Full time with minimum freelance tax help

Hi,

I wonder if you could help. I have a full time job and earn £35k p/a. A friend of mine is struggling and needs a hand with his start up and has asked if I can do a little bit, offer advice etc, and he will pay me £100 per month. Obviously this isn't a lot and if it is going to mean that I have to pay a lot more tax then it isn't worth it.

Any advice on what the outcome would be of this would be great.

Many thanks,

Lisa

Comments

  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    £100 a month is only £1200 a year so on top of your £35K salary you should still be within the basic rate tax band. So you'd pay 20% tax on your extra earnings, and no NI as you're well below the Lower Earnings Level.
  • Guest101
    Guest101 Posts: 15,764 Forumite
    I never understand why people think earning X amount extra will mean paying X + Y in tax
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