How much to set aside for tax?

[Matthew Storrs]

I used to charge 75 a day when I first started on my own 5 years ago, oh how quickly I learnt the error of my ways:laugh1:

[lewiswood]

Would you all say that £70-£80 pd is too cheap for a self employed grounds man and occasional climber with CS 30 31 38 39 also 4 years experience in fencing and landscaping???

 

 

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[Matthew Storrs]

Well as the OP stated, once you've paid any expenses, holiday sick pay, tax it doesn't,t leave a great deal for living

[lewiswood]

Yeah. Soon for a change me thinks especially with first child on the way shortly.

 

 

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[raker]

People will pay you shag all if they can get away with it.Put your money up.If you have a child on the way you can get tax credits to really boost your income.Bang another one in the back of the net and you wont have to worry about your rate.

When mine were young, i was working two day jobs and door work three nights a week.If its there, claim for it.Some of the young lads i work with dont want a payrise.Tax credits make it up and then some.

[alex_m]

Well as the OP stated, once you've paid any expenses, holiday sick pay, tax it doesn't,t leave a great deal for living

 

Very true - if you're self employed, earning £75/day you need to keep aside £10/day just to cover the 28 days paid holiday a year

Then another £15/day to cover ppe/tools/maintenence/fuel over the year.

Then another £5-10/day to cover downtime.

So now you're down to around £45/day before you know it! That's £1/hr less than min wage

[lewiswood]

It's worth thinking about. I have never like the thought of claiming too much benefits but I think it's better going to someone that works, pays their dues and deserves. Than going to some of the people that making a living off benefits for no reason.

 

 

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[markieg31]

Well I had to register self employed because somebody needed my utr number and it was a lot of work.

 

Hoping to go full time self employed and ditch the empoyment as I had a eureka moment and worked out that I am on £65 a day before tax!!! Everybody loves working on the powerlines!!!!

[jamesd]

Sorry to hi jack this thread slightly but thought i'd ask it here rather than start another similar thread. I'm self employed and have just started my first year but am uncertain of when i actually pay my tax i've heard its not for another year and a bit???? is this correct? my business year is exactly the same as the financial year btw.

and i pay my tax and class for stamp at this time i believe??

 

Thanks, James.

[Stephen Blair]

you should have a DD set up for stamp now and you will pay your first tax 1 month after your year end, then 6 months after that you will pay half that amount, 6 months after that you will have to pay 1.5 times that as an estimation depending on how your year went.