Self-Employed Self Assessment query

gbu_2

Just filling in my Self-Employed Self Assessment form and filing in the "allowable business expenses" section, when it gets the wages/salaries and other staff costs section it says "dont include your own wages and drawings."

I cant see any section where i do add this information or does it only apply for your turnover against goods bought/ car expenses/ phone/ accountancy costs etc
Is that section only for if you have any staff and employees?

I always thought you have to tell them what your own wages/drawings were?

Jeremy535897

If you need to complete SA103F, which most self employed people don't (SA103S is sufficient), you can fill in the balance sheet and put drawings in box 98. Otherwise, there is no need to tell HMRC what your drawings are.

[Deleted User]

gbu_2 said:

Just filling in my Self-Employed Self Assessment form and filing in the "allowable business expenses" section, when it gets the wages/salaries and other staff costs section it says "dont include your own wages and drawings."

I cant see any section where i do add this information or does it only apply for your turnover against goods bought/ car expenses/ phone/ accountancy costs etc
Is that section only for if you have any staff and employees?

I always thought you have to tell them what your own wages/drawings were?

You can draw whatever you like out of your business - it has no bearing on your tax bill. The only person likely to be concerned is your bank manager.

Jeremy535897

A very long time ago, when HMRC actually looked at accounts and computations, they sometimes asked for an analysis of drawings. Those days have long gone.

gbu_2

Oh right thanks for the help

So just to clarify its based on turnover minus goods bought and expenses plus any pensions and bank interest etc

Any wages/drawings has no bearing on final tax assessment.

Jeremy535897

Your self employed trading profit is turnover less allowable costs. Bank interest paid may be one of those costs. Pension contributions are claimed in the main SA100. Pensions received and bank interest received are dealt with elsewhere (SA102 and SA100). Drawings don't matter, unless you are claiming relief for bank interest paid, and you have drawn more than the business is worth (because then the bank interest would be treated as partly funding personal expenses).