These are just my favourite accounting apps and in the link to their website, which can be found by clicking the title, has no affiliate links that I benefit from. There are obviously so many accounting apps out there that will help you sort out your finances and keep you on top of your paperwork and sometimes you just have to use trial and error to find the ones you are happy with. Continue reading “My Favourite Accounting Apps”
In its most simplest definition, if you have a limited company, you would need to pay tax on your profits. This is called Corporation Tax. You would also need to pay corporation tax if you are an association, a club or co-operative. If you are a sole trader or a partnership, your profit is not subject to corporation tax and any tax you have to pay will be through your self-assessment. Continue reading “What is Corporation Tax?”
A dictionary definition and its simplest explanation, income tax is the tax levied on personal income that you earn.
What is personal income?
Personal income that is taxed in this way is made up of:
- Income received from employment including benefits in kind
- Your profits on self-employment
- Pension received
- Rental income
- Some state benefits – a list of what is and isn’t taxable can be found here: https://www.gov.uk/income-tax/taxfree-and-taxable-state-benefits
- Income from trust
Every year when the budget comes out you hear about taxes going up, the economy growing and unemployment going down. If you’re in employed work and receiving a monthly salary you might not really understand or care how the budget affects you. However, the salary you receive in your bank account is what you get after your employer has taken the PAYE. Your PAYE is made up of your national insurance contributions and income tax. Continue reading “The budget and the PAYE”
Here are my top 5 accounting blogs and why I like them. There are a lot of other people that I do admire in the tax and accounting world who are not listed here as they don’t blog or they don’t have a website. However, as I like to blog, I tried to focus on bloggers only.
Class 3 National Insurance Contribution (NIC) is a voluntary contribution that you can make if you have gaps in your NI history. One of the main reasons that you would want to make a voluntary contribution is in order to ensure you receive your full basic state pension. However, this is a voluntary contribution and you are not contracted to pay it unlike the other national insurance classes. Continue reading “Why Pay Class 3 National Insurance Contribution?”
In its simplest definition, profit is the difference between the sales you have made less the expenses incurred in bringing the product or service ready to sell.
Sales – Expenses = Profit
The profit is what you get taxed on whether you are a limited company (corporation tax) or a sole trader (personal tax). So let’s have a look at all of these three things in a bit more detail. Continue reading “Where’s my profit?”
If you have taken out a personal pension plan, do not forget to include this in your tax return. If you are a basic rate tax payer, it will have no effect but if you are a higher rate tax payer, you will benefit from some tax savings. Continue reading “Reporting your personal pension contribution”
I’ve just finished reading this book which I am sure I started at the beginning of the year. I know I started reading it while on the train to London which was in December or January time. However, I don’t travel on the train on a frequent basis so my reading also got less. I’ve currently found a new time to read, while putting the girls to sleep as long as it is in a kindle format. Continue reading “The Go To Expert by Heather Townsend and Jon Baker”