VAT is value-added tax. It’s applied to the sale of most goods and services, though certain goods and services are either exempt, or charged at a reduced rate. And unlike income tax, it’s collected by the seller. At the time of writing, the standard VAT rate in the UK is 20%. Only the most successful…
You can claim certain business expenses as part of your tax return. Only some expenses are allowable. You can read our complete guide to allowable expenses for self-employed workers. This is why it’s a good idea to keep the receipts for any purchase you make for your business. With receipts to hand, you’ll have a…
When working out your hourly rate for contracting, what you’re really trying to work out is this: How much is your time, your energy, and your talent worth? These are difficult questions for anyone to answer. So instead, when working out your hourly rate, think in more grounded terms. Think about how many hours you…
If you’re new to the world of freelancing, you might wonder what to charge for your hourly rate. It’s a tough question. Perhaps for the first time in your life, you need to determine just how much your time is really worth. But working out your hourly rate for freelancing doesn’t have to be so…
Being self-employed means you’re your own boss. You’ll do everything on your terms, working wherever you want and whenever you want. It’s certainly not easy, but being self-employed can be immensely rewarding – not to mention profitable. This is a short guide to becoming self-employed. We’ll show you what sort of work you can do…
Going self-employed for the first time can be nerve-wracking. There are many benefits to being your own boss. But when you’re your own boss, you have to take care of everything. So if you’re new to the world of self-employed work, how can you be sure that you’re doing everything right? This is your essential…
Any contract is a legal agreement between two parties whether they are corporate or freelance contracts. They essentially make it clear just what’s expected from both parties and ensure that no party can back out of the agreement without incurring a penalty. Contracts are commonplace in most, if not all, business arrangements. But if you’re…
If you’re a freelancer, a contractor or a sole trader, you might be wondering when it’s the right time to register for VAT. You probably already know that the annual turnover threshold for registering for VAT is £90,000. But do you know the rules beyond this? For example, do you need to register after you’ve…
If you’re new to the self-employed world, you might have some questions about the sort of National Insurance you need to pay. This is your essential guide to your National Insurance obligations as a self-employed freelancer or contractor. We’ll take a look at the difference between Class 2 and Class 4 National Insurance, which should…
You have a legal obligation to register your business. But when do you need to do this, and how do you do it? Whether you’re just starting out, or you’ve been running a business for a short while already, this post will show you how to meet the legal requirements. When To Register as Self-Employed…