Taking on a second job is a great way to earn extra money and many people now find this necessary to make ends meet. It also improves your skill set and looks impressive on a CV, providing better job prospects in the future.
But working two jobs comes with many considerations for both employee and employer. In this blog, we’ll look at the benefits and pitfalls of working two jobs including legal restrictions and tax guidance for both parties.
With no legal entitlement to holiday pay, taking time off can be a challenge for the 4.8 million self-employed people working in the UK. Often when not working for clients, there is a lot of administration and accounting work that needs to be fulfilled. However, with careful planning and organisation of accounting duties, taking time off shouldn’t be difficult.
In this blog, we’ll cover ways you can take valuable time off whilst self-employed without sacrificing client satisfaction or revenue.
Finance is full of jargon! We know because we answer so many queries from our clients about what certain acronyms, words and phrases mean.
To make sure you’re never left confused again, we’ve pulled together an A-Z jargon buster with common accountancy, financial, business and employment terms and their meanings.
VAT (Value Added Tax) is a tax added to almost everything we buy. If a business has an annual taxable turnover exceeding £85,000, they must become VAT registered. Once registered, the business is responsible for charging the correct rate of VAT on their products and services as well as recording the VAT paid by the business.
Find out more about VAT for your business; do you need to be registered? What are the different VAT rates and schemes available for businesses?
If you’re a worker or employee over 16 and earning above £157 per week, or are self-employed and generating a taxable profit in excess of £6,025 per year – you will pay National Insurance. The amount you pay depends on your employment status and how much you earn.
Find out more about National Insurance contributions, why you pay it and how much you pay.
If you are a business owner, you should be aware of the huge changes coming to the tax system.
HMRC are aiming for a completely digital tax system by 2020, with the first businesses having to comply with MTD legislation from April 2018.
Find out more about what digital tax is, who it affects and how you can ensure you are prepared for the change.
If you are an employee or worker, you will be on a PAYE (pay as you earn) tax system, meaning tax is deducted straight from your salary – unlike the self-employed, who have to calculate and pay their own tax.
For many, this ease of use means that tax codes and deducted earning are rarely checked, which could result in over taxation.
In this blog post, we’ll cover how to find your tax code, what it means and what to do if you think you are being over taxed.
A key employment case against taxi app company ‘Uber’ has resulted in their claims of their drivers being ‘self-employed’ being rejected, with Uber drivers now being classed as ‘workers’ as opposed to self-employed.
But what does this new employment status mean, what are rights are workers entitled to and what is the so-called ‘gig economy’ – find out in our blog, with a handy infographic showing the rights of employees, workers and the self-employed in the UK.
For many businesses, a question they will face at some point as their business grows and becomes more complex is whether to keep their accountancy in-house or to outsource to an external accountant.
On one hand, an in-house accountant is likely to cost more but allows for better communication and quicker answers. On the other hand, outsourcing your accountancy gives you access to a team of experts and knowledge that an in-house accountant may not possess, but it may slow down communications.
With so many different factors to consider, let’s take a look at the main benefits and pitfalls of both outsourced and in-house accountancy.
As part of the Spring Budget, Philip Hammond announced that the main rate of National Insurance Contributions (NIC’s) for the self-employed would increase, with Class 2 NIC’s being abolished, and Class 4 NIC’s rising to 11% by April 2019.
Fortunately for the over 4.6 million Self Employed workers in the UK, the plan to hike NIC’s was scrapped. So, what is NI? What is it used for? And how much do the Self-Employed Pay?