Self employed - Tax and NI

[moozoboozo]

Ok, not the most inspiring subject, I know. I have just regitered as self employed, but I am confused, and I think I confused the bloke on the phone as well. I basically have 4 jobs, all of which pay crap money, and 3 of which are on a self employed basis. At the mo, I am not earning enough to pay tax/NI, but I know this will change in the next couple of weeks. Can I declare them all as one thing, or do I have to do it all seperately and register 3 times as self employed???? What happens with my PAYE job?

The Inland Revenue have sent a pile of stuff through, which I don't really understand. Maybe I'm just thick!!!!!!!

Hi, saw your message because i've been up late doing my tax!! It is confusing, but don't worry, it will get better. It really helps to go in and talk to someone at your local Inland Revenue office, it's tricky over the phone. I'm no expert but here are a few basics:

You only need to register once and you declare all of your earnings on the one form, it explains itself as you go. You won't need to put your PAYE earnings onto the form because the form is for self-employed earnings only. The PAYE job should have tax and NI deducted at source - check this on the payslip and make sure they don't give you an Emergency tax code - ask them about this.

The most important things to do are:

1. Keep a careful note of your income and outgoings each month - you can get simple software for this or buy a basic accounts book or just use your own book with a page each for income and outgoings each month. Keep all your receipts and num,ber them, then clip them into a book each month - makes life much easier at the end of the tax year. The Revenue can give you a list of the outgoings you can put down as tax-deductable.

2. Put the tax and NI money away every month - be very strict about this. You can pay NI by direct debit then at least it's out of the way.

You will pay tax twice a year - 31st January and 31st July.

If you are a sole trader you will pay tax on any profit your business makes its counted like a wage even if you don't take all profits as personal drawings. Very simplified you add up your all profits and any wages from employment minus tax allowance and what ever is left is what you pay tax on. The self assesment form actually makes it fairly simple. The best advise i have had is claim for everything. Every little thing you buy to use for your self employed work from stamps to storage boxes should be minused from your takings.

As for NI you will probably have to pay class 3 self employed NI whatever your earnings are.

I'm sure tomorrow you will get loads of advise from those more in the know so bump it in the morning or afternoon.

forgot to say, you can do it ll online now too.

Ediemay manage to post while I was still typing

hi Skribble, off to bed now, all taxed out
night night