Please tell me about self-employed bookkeeping/accounts work

[Housemum]

Having been a SAHM for 7 years, I am rather used to the freedom of being able to set my own schedule (albeit around the kids). Previously I worked in banking, in credit analysis, so my background is finance. I wondered if anyone on here is a freelance bookkeeper, and what this entails/what the best qualifications would be to get into this area.

Any advice appreciated, DD3 is only just about to start pre-school in September but I thought I should start considering options for bringing some extra money into the house as I would have a little more time to study from September onwards in preparation for going back to work. I really don't want to go back to the everyday 9-5 (or 9-3 as I used to work), and I couldn't go back to my old job anyway as my department merged and was relocated, which is why I took redundancy to become a SAHM in the first place.

Thanks for your help

Hi Housemum. I was a SAHM for 13 years, with 5 DCs and now am self-employed and part-time employed book-keeper.
Its brilliant because the work I do from home I can fit around the DCs. Its the sort of work that you can do the odd half hour to and if you get interrupted it is not too disasterous (although obviously not ideal).

I have qualifications and experience with SAGE, which is probably the one that I ma asked about most, but just being able to do spreadsheets on EXCEL is good enough for smaller businesses. I have also had a number of jobs where I have gone into their office and sorted out the accounts.

I started off by getting some business cards made up, but to be honest the most work is from word of mouth. I could be doing more than double the amount I do, but family life still comes first, so I have had to learn to say "No".

HTH, but ask away if there is anything specific you want to know.

Sorry to Housemum to barge in but I am also interested in this. Could you tell me what qulaifiations you think are best as I have found so many. Some say AAT and some say book keeping and others say be an accountant.

Do you need any sort of insurance?

Thanks

Hi Feelingsensitive,

It does depend on how far you want to take it. If you want to do all the in depth tax returns and take on lots of repsonsibilities, then I would suggest getting insured and doing a more indepth course for qualifications.
I do tax self assessment forms for people, but always get people to sign to say that they have supplied the information given and agree with all the figures, that means I take no responsibity. I also do VAT forms, with the same proviso.

I wouldnt think it necessary to take an accountancy course, unless that is what you want to be. Most small businesses will use a bookkeeper because I am so much cheaper than an accountant. It suits me. If there is anyhting I am not happy about I dont touch it. As I said before I have SAGE qualifications, but it is the experience which is far more valuable.

Watch out for anyone who is trying to get around paying VAT ot TAX. I would not have anything to do with it. I dont want a TAX man after me!!! One guy I worked for had boxes of letters and invoices he wanted me to sort out. Loads were from the Vat office asking for money and invoices going back about a year, final demands etc. He owed the vat man LOADS and then all the cheques were bouncing. Heavies were arriving at the door for their money and i had been bought in to sort out the mess. I did a bit, realised how bad his financial situation was, asked for my money - he tried to fob me off, but I refused to go until he paid, then left.

If you are not confident about doing anything, leave alone!!
A lot of people find figures scary, so most of the work I do is really simple bookkeeping, not rocket science. If you have a simple knowledge of bookkeeping and spreadsheets, you'll do fine. Its good enough for many businesses. If you want to go for more, then SAGE is the one to do, FME.

Sorry, lots of waffle there!!!

Thank you so much - from seeing customer's accounts I'd thought about doing a Sage course, but would also have thought about the AAT or accountancy courses - sounds more like just knowing how to do tax returns and payroll is what businesses need.

Hi All

I'm interested in this too. I have an accoutancy qualification but its very old and have worked in public sector for yonks so hardly any experience of small business, tax etc. My bookeeping is pretty good and have used SAGE and Quickbooks so could handle most of that but am worried about the gaps in my tax knowledge and payroll issues. PLus have no experience of dealing with HMRC on behalf of clients.

Any ideas about what would be a good top up qualification - have looked at doing a tax technician course or some kind of payroll course.

Plus how's a good way to get clients.

Hi Martini,

If you phone up the tax office in your area they do some free courses, which would probably be enough for you to become more confident in dealing with the tax and vat issue. To be honest, I did the courses thinking i knew too little to tackle this area ad realised that I knew more than I thought and really could do tax without a problem. The tax helpline is always really helpful anyway, for any questions as you go along.

Payroll is most often computerised now anyway, even if it is just using the PAYE CD, which does everything for you, so I would think you could easily pick up how to work your way around it. If you can get hold of an old CD it may be worth popping it on your computer and having a look around. It really is all A-B-C, so much easier than the old paper/charts way.

Expereince is the best qualification, which I know is the catch 22, but if you could start off small and gain experience it will snowball.

As for getting work, I did get business cards, but very limited success with this. I also asked friends who were self employed if they needed anyone- but beware of people taking advantage. If you can afford to not get paid for a while, it could be good to gian experience with a small charity, doing their accounts. I promise you, as your name gets around it snowballs really quickly.
I was also very fortunate in knowing somone who had been doing this for years and she did not want to take on any new clients, so anybody who asked her she gave them my number. My best clients have been through word of mouth.
I had 5 months of no work, getting really frustrated with it all, then over the next three months it all rolled in and I could have been working 24 hours a day. Now I seriously think whether its worth doing time vs money, and I have regular clients that keep me ticking over nicely.

Good luck everyone.

Also in the same boat...
If it's not a rude question, what sort of money can you earn at this?

Trust an accountant to ask that question

Hi Housemum, have you made any decision about your career change? I am almost in your position, currently working 9-5 in credit analysis and going on maternity leave soon with DC2. Although I love my job, I am not sure if I will be capable to continue 9-5 with two DC, and also looking into bookkeeping option ? this could be rewarding long-term in terms of hours and flexibility, this attracts me most.
I guess it would be ideal to get some volunteer bookkeeping work locally, gain some experience, seeing if you enjoy it ? if yes, going ahead with AAT and using your volunteer work references for getting a real job.
Keep posted what have you decided.