Self employed help

B

Bez92

Member
Joined
Nov 3, 2010
Messages
22
Reaction score
0
Hi,

Had a search but didnt really find the correct help.

A scaffold firm local to me wants to take me on, and has asked me to go self employed.

Can anyone help me with what I need to do?

I havnt a clue and have always been PAYE.


Steve.
 
u need to get hold of the tax office and get a UTR number. its all go then.
 
and register for the CIS Construction industry scheme with the inland revenue
 
make sure you paye the right national insurance each week as if you come out of work for the sh!tty jobseekers there say you havent payed enough class 1 or 2 what ever you wana call it. if you say you wana go income base instead of contribution base there take your wifes income and your still get nish!!! the systems only good for foreigners and not the british worker. so check your national insurance bez 92 coz you may need it one year!!
 
Do I need to invoice the boss man each week so we bot hhave records of my pay? so confusing.
 
your utr should give the information but it wont hurt keeping a copy incase there a dogie out fit make sure you keep all your recietes for petrol clothes ectra
 
thanks for advice, its a bit daunting at first.

i have a decent accountant in the family too, hopefully this is helpful to me.
 
You need to get a UTR number before you're first pay packed otherwise he will have to deduct you 30% of you wages instead if the normal 20%. Every time you get paid you should get a subcontractor CIS statement to tell you how much you have been paid and what has been deducted, most companies do this monthly. You will need to retain these until the end of year to give to a bookkeeper/accountant to claim for your expenses ie. fuel, PPE, tools etc...
 
i was under the impression i paid my own tax at the end of the year or something?
 
No. You will be deducted 20% by your employer. You will have to pay your own national insurance though.
 
Self employed u pay your own tax and stamp


CIS scheme they pay 20% tax for you and you got pay your own stamp
 
okay i see.

Can i still just register as self employed and pay my own way even though im doing work for him and not my own actual business??
 
just get a utr number and a accountant job done hope this helps
 
Can i still just register as self employed and pay my own way even though im doing work for him and not my own actual business??


In a nutshell no. HMRC dont allow gross payment status in the CIS scheme unless you meet certain criteria.
 
As I understand it CIS and self employed are to totally different things
 
Jiggaman, do you work for someone self employed?

thanks.
 
Everal years ago the tax office changed the status reguarding being self employed. What u think of and what the tax office think of as self employed are 2 completley differnt things...there are several criteria you have to have before they will consider u as officially self employed...& although gaining a utr number & informng the NI office of your self employed status. You will find that eventually that if you dont meet their criteria than the financial loss to yourself & your employer can be considerable . A good account acting for you will advise you but tbh if can all end in tears.
You need to be registerd with both NI & tax office
You must have personal public liability.
Each job you do must be on a finaincial risk basis
You must not be earning a guaranteed hourly or date rate
All work must be invoiced.
You must surply your own tools & equipment.

Now several people on here will disagree with the above & say i dont do that...but beleave me when i say its the law & the taxman has up to seven years to catch up with you, & now with tax & ni sharing the same offices & with the introduction of real time information for paye - its not a case of if the catch up with you but when.
The finacial differnce of ni contributions will be clawed back which is 9%of your earnngs capped @ £68 per week from you. & 10% uncaped from ur employers contribution. As well as the diffence in tax on top of that ...you can see what i mean about if you get it wrong its gonna cost. Also your tax return has to be submitted on time or again you will face fees.
Hope this helps.
Tbh i'd thnk about it as now there arnt as many benifits to being self employed anymore as the self employed are intitled to the same holiday pay & benifits as paye as well as the issue of ppe so the only one who really benifits is your employer as he'll pay no NI contributions which will save him thousands.
 
Last edited:
I did state jiggaman that there would be people saying they dont do it& your one of them ...if your accountant hadnt warmed you of the concequences then sack him cos when hmrc catch up with you, which they will eventually they will state that "ignorance is no defence of your liabilitiys." A phrase that seems to be one of their favourites. The fact is my friend in their eyes & those of the law you are not technically self employed..check out the hmrc website for the details & criteria...this is why several years ago people either went into ostrich syndrome like you have done, or took steps to avoid this liability hence why most guys are on paye now or employed through either a agency on a temp works contract...which are in the process of being scrapped or payed through umberella companies.
 
Last edited:
You must log in or register to reply here.
Top Bottom