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TalkFord is Arse, Bring back MEG!
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Discussion Starter · #1 ·
Ok well after alot of fishing about I've found out there's quite a hefty demand for car kit engineers. Sooo i'm going solo, been thinking about it for a while to be honest but i'm finally biting the bullet. Already got two companys who want to give me contracts and start me ASAP but required public and product liability insurance which I sorted out (£200 for the year!!). Dad's place (Stiller) have said they'll use me as there contractor for all there fleet but will require me once in a while to travel to stockton-on-tees. And a couple other places i'm going to cold call. I've got every aspect nailed other than, tax!

N.I. I understand I have to pay my own contribution but how does tax work? How much do I pay when do I pay, what do I have to keep hold of i.e reciepts etc etc. And what about fuel? I'm gonna be using a diesel and eventully I'll either get me a van or a Navara, because I know there tax perks from a commerical vehicle but what perks I don't know or how it works. Basically I need some advice from those who are already sole traders etc etc. Ta
 

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time to find an accountant, basicly you have to put some money away each month then calculate at the end off the year how much you'v earnt and how much you can claim back. thinks like busness lunch's tool's coths vehicle, most business things have a curtain tax allowance.

far to complicated for most off us, so do what i did find your self a consulatant.
 

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Back in England.......
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Sorry I can't help you but good on ya for taking the plunge!! :L

Good luck and I hope it works out for you. :L
 

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Keep receipts for everything? petrol, food(business dinner?), computer upgrade (essential for business), everything. Claim it all back as Tax.
Getyourself few contracts that pay cash off books straight in your pocket.
 

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TalkFord is Arse, Bring back MEG!
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Discussion Starter · #6 ·
Hehe cash in hand thats what I'm doing a bit of at the moment. So an acocuntant basically is what I need and every reciept I get hold especially those all important indian restraunt business dinners!!

So am I right in thinking the amount you get back in tax and have to pay in tax depends on what your profit is for the year?
 

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Premium Member
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yep, keep all receipts, i'd keep back 20% of all money made for tax until you figure out whats what, and most importantly, go see an accountant!

it is complicated.... i'm still figuring it all out myself
 

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yes, thats why it gets hard to do your self to start with, also get in touch with the agency's it may keep you ticting over while you build your business up.

i werent from employeed to self employeed, back to employeed as i found an easy job that payed the same lol.

do remember to get a lose off earning insurance policy too, cuz you wont get anything if your off sick.

and best off luck mate.
 

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One thing though keep your cash in hand contracts quiet, no mate how well you feel your getting on with your accountant, never tell him, 99% are honest as the pope swearing on the bible that he kisses floors
 

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[quote name=jacks-ST-mondeo]One thing though keep your cash in hand contracts quiet, no mate how well you feel your getting on with your accountant, never tell him, 99% are honest as the pope swearing on the bible that he kisses floors[/quote]

this is very true, cash in hand canbe abit ermm, well i wouldnt do it (and never tell accountant) the tax froad people use them to spy on you. but there are some good ones out there.

oh an another thing, never buy materials for the cash in hand jobs you wont be doing using you credit card or bank account. take monies for materials first in cash. ;) :innocent:
 

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Window licking mong
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tax returns are supposed to be pretty straight forward but time consuming, some of my mates do their own and they arent exactly Einsteins so it cant be that hard! so you can save yourself the expense of an accountant if your handy with a calculator...
 

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id say a good accountant should save you a shed load in taxable earnings that he should more then pay for them selfs, and it it will help prevent you making a mistake and end up with a hefty fine and repayments.

just my opinion, but i wouldnt trust my poor maths.
 

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Just me
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19,673 Posts
Good idea Harry, you have made it clear you are not happy.

One thing that might help you, I received a basic flyer run off a home printer by the look of it this week about a guy who fits car kits, tints, alarms etc. Cheap advertising fo you.
 

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Still waiting to Wii
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well done harry, would love to have my own business but start up costs are too high for me... if i could find an investor it'd be a totally different story.

good for you and good luck, but i have no clue how taxes work here.
 

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TalkFord is Arse, Bring back MEG!
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Discussion Starter · #15 ·
Got business cards on the go, an yes some flyers off me printer, advertising in the local post office even, I'm going for it full force, got all my suppliers, well to be honest if it wasn't for my one supplier handing me these numbers it'd would of never happend. An it came about through one simple phone call telling him I'd been booted etc etc.

So got the trade accounts I need! Gotta get some more tools mind but other than that I'm set! :L
 

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MEG Colonel
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Good luck mate as its a big step to take and something i kinda wished i'd done myself
 

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MEG Admiral
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Good luck, Harry. One thing you might want to consider - have you factored in a salary for yourself? Are you planning to go as a ltd company, or a sole trader? (And have you looked into the pros and cons of both?)

Also - VAT. I've forgotten what the threshold is (used to be about £48k TURNOVER, which doesn't leave a great deal of margin for profit). But beware - the VAT man (ie Customs & Excise) have more rights to investigate you than the police do...
 

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TalkFord is Arse, Bring back MEG!
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Discussion Starter · #18 ·
for the time being I'm sticking as a sole trader. I've worked in a salary for myself, or a minimum of what we can comfortably live on. If all goes to plan even on a quiet month I should be bringing 2k a month in, but we'll see how the wind blows with that.....
 

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good luck man, ive done the same thing, but about 5 months ago.

got myself an accountant, so he deals with all that crap, basically just said keep every recipet, even the one for my 42 inch tv :D

so far im doing alright, around 4k a month, but im coming to the end of my current contract and the next one might not start for a few weeks, but thats the way it goes i suppose.
 
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