Doing private tuition and tax properly

[Handbaghag]

Going to start doing tuition outside work. Want to do it properly rather than cash in hand not declared.
Does anyone have experience of this and how they registered to pay tax/how much did they put aside for this/how difficult were tax returns etc
Thanks

Assuming no contract issues etc, all you need to do is register with hmrc as self employed. You will pay tax on all your earnings at your highest rate. There may be some extra n I to pay. You need to file a tax return by the end of January following april 5th

You can get software to file your return for about #30. Hmrc have their own, but it is fiddly

It’s pretty easy. Keep receipts. Simple spreadsheet of income/expenditure. Keep about 20% aside for tax - or whatever your tax rate is. Self- assessment each year online.

Thank you

I tutor privately and put away 20% of all self employed earnings. I use Wave software as it invoices clients and does my bookkeeping for me. I do use an accountant as both my dh and I are self employed, employed and partners in an LLP but for a small amount of tuition it would be easy to do yourself.

It's not difficult. Check into what you can set against the income too. E.g. you can set £2 a week against the income as you're using your house for admin time even if you don't actually teach from home. There was a good article in The Guardian about this, if you Google it you should find it. And if you are paying N.I. on your paye job you can opt out of N.I. on your self employed gig.

How much are you expecting to earn? I only tutor one day a week and only during term time so I stay (just) below the £1k per year limit. This means I don't have to even send in a tax return.

Yes I've just read about the £1k limit. I don't think I'll earn more than that. Obviously it would be prudent to record all income but i reckon I might only register after I know I need to but put money aside for tax just in case. Thanks everyone