Decode bookkeeping with an accountant for self-employed individuals
Accounting for the self-employed'; a commonly heard term throughout the UK, especially at peak tax season. Freelancers and sole traders aren't too fond of accounting & bookkeeping. Most self-employed individuals aren't well-versed with simple taxation questions such as 'How to pay tax' or 'how to file a tax return'.
Completing your self-assessment tax return
If you are one such individual, you might want to either educate yourself regarding business finances or hire an accountancy firm to help you out. Since educating oneself while running your own business can be a challenge, a business owner usually hires an external service for self-employed accounting.
The role of sole trader accountants
Here are some questions that, on careful analysis, your accountant can answer for you:
For your self-employed tax return, you will need to understand who and what comes under the umbrella for 'self-employment'.
1. Is it better for you to file your taxes online or send an offline form with printed documents?
2. Is self-employment the right business structure for your kind of business? If your business goals do not match the type of business structure you have, then you might want to think about registering as a limited company.
3. How much tax would you need to pay if you decided to register as a limited company? A comparative analysis on how much difference switching to a limited company would make in terms of tax.
4. Any financial obligations that you would need to fulfil as a freelancer or a self-employed individual. If yes, then the deadlines and regulations for these financial obligations.
Sole-Trader Accounts: Support System
As a sole trader, you will pretty much always need a support system. As the main representative of this 'one-person army, you will also have to take a few tough decisions. For an entrepreneur, it can be challenging to give up part of their business to be managed by another individual. However, if you don't delegate, things might become 0verbearing for you and cause burnout. Your financial responsibilities can conveniently be shared with a professional or service from an online accounting firm.
Financial advice services offered by consultants who have been in the business for over a decade can be considered for your small business. These financial advisors usually have multiple clients that they deal with. However, at dns accountants, you will have a dedicated accountant who will help you with your business's tax efficiency. Handling the bookkeeping of a new business can be time-consuming and require effort. Getting a friendly team of accountants like dns accountants to offer advice & excellent service to you is optimal.
Get a free consultation & support from dns accountants - with expertise in finance for sole traders, they can offer you complete solutions for your business.
