tax question for childminders - please help !!

[shiningstar]

hello

i have got the amount i need to pay to £4581 (after wear and tear and expenses, and taking ofdf the tax free amount) there are two % you have to pay at. can you tell me the limit that the 10% tax goes up to?? ie am i only paying 10% on this or do i have to pay some at the higher amount? thanks

Is that your profit

ie income less expenses?

It seems very high if you have taken your Tax free allowance off already (can we find you anymore expenses?)

Tax free £5030
10% band £2150
22% after that

thats correct! i think i have done everuthing, milage, food, memberships, phones, everything i can think of! where does it tell you the £2150 please? i thought it was in my book but cant find it now!

HMRC (her majestys revenue & Customs) it's .gov.uk I think

Can't we find anymore for you
Council Tax
Water rates
Electric
Toys/boooks
Cleaning stuff
Lightbulbs
Loo roll
TV License (%)
Sky fees (%)

I have never paid anything like that much & I earn loads

here

thanks for that. i think i have done everything i can think of! we need a complete list somewhere and then i am sure there things i have forgotten! thanks for yoyr speedy response though!

I earnt thousands this year & I'm only going to pay about £150 in tax & NI - so I am surprised orry I couldn't help more

My profit is £14k but if I have earned it I have to pay the tax on it, fair enough. Cannot lose anymore, as I have 'lost ' nearly as much as I eneded up with.

One c/m's who is being supported by another mentor friend asked about an accountant and was told, ypou won't need one of those yet, it is ypur first year of minding. She replied I will as I am earning £750 a week, - she charges £7.50 an hour and gets it!

I must be doing something wrong

i have lost 5000 in costs so i agree ! i am happy to pay! i have been saving all year so was expecting it really!!

I think that it may be wise for you to spend £59 on an accountant such as Brian . At least have a chat with him and see if he can help come up with more things you can claim for.

If I was to put my car through my books I would 'lose' a lot more, as I do a huge mileage for school runs, sometimes 100 miles a day and I don't get out of the city) but my husband pays for my car and all the expenses.

I am also a director of three companies, so have loads more tax to pay than just my childminding income.

As I work term time only, ( 36 weeks) 8-4, I do a lot of research for DH, and travel trips, incentive and promotional things too. _ I have to justify my salary to the tax man.

An accountant is useful, and I have heard Brian is good. Mine costs a lot more than £59, but then my tax is complicated with trust funds, pensions, flats etc

I earned 24,000 one year and only paid 1,400 in tax, you can lose most of it, I did buy a trampoline and a huge climbing frame that year tho.

Average year is about 18,000, and manage to lose most of it, mind you I do about 100 miles at 40p a mile most weeks which uses up alot.

KatyMac - I need to fill in my tax return! before I can do that, I need to get my expenses right, When writing down all my expenses, I am just begining to realise that I am not considering all things that i could deduct..

How much % do you suggest to put down for TV licence fee & Sky fees?

I am only part time, currently 14 hours a weeks and sometimes have been less as I have only been minding less than a year.

Any suggestions?

def get an accountant. i earned over 20k last year and paid 470 tax. ive got an accountant. this seems way to high.

Do you use the NCMA tables for Electric?

If so I'd use the same scale - if not come back & see what we can come up with

Yes I do, will do for these items too then. that makes sense really. Cheers

Just to throw a spanner in the works - some CMs I spoke to today have just done one of these "learn how to do your tax" courses for CMs, and were told that they must now have receipts for items under £10! Not sure if this information has been given to anyone else?!

Just to ask another question.

Do you think I can get away with putting the cost of my window cleaner through the childminding accounts as I perhaps wouldn't have them cleaned nearly so often if all these parents weren't coming to my house.

I am looking for all sorts of other costs I may have forgotton to add to it as my profit still seems to high to me.

I bought lots of storage cabinets for my playroom which are full of childminding toys. I think they will have to become a fixed asset and depreciated. - what do you think would be a reasonable life for them? 3 years? 5 Years?

yes - window cleaner for the windows in the rooms you childmind from!

trying to rack my brains as to what we was told the otehr day at pre-reg briefing...

wipes
washing powder & conditioner
bus fares
NCMA stuff
insurance
vacuum bags
sunblock
baking tins
colouring books
toner for PC
paper for PC

Got all of that lot apart form the washing pwoder - that didn't occur.

• Did just get a dishwasher as I didn't have one before. Could I put that through do you think?

I guess so - you have bought it so that mindees have clean plates to eat off and clean cups etc - also means you are not being distracted by washing up so are able to spend more time with mindees which is what we are paid for!!!!

I definitely agree about getting an accountant if you've worked out you have to pay THAT much. You may have saved and don't mind but you could use what you've saved for other things if you can 'loose' some of your income! £59 is well worth it!

I'll keep an eye on this thread and look at previous ones and put one great big list together of things to put on 'OUR' childminder website - what do you reckon?

Great Idea

Look through old threads we had managed to draw up a HUGE list of things we could claim for.