National Insurance Recap

 

London Landscape

National Insurance Class 2 will be abolished from April 2019. So with only a year left and if you have been self employed at any point in the year, now is a good time to make voluntary payments via Class 2 in order to top up any shortfalls, if for example, you do not have your full 35 years of state pension.  This works out to be cheaper than paying the voluntary Class 3 NI.

Here is a recap on all the different National Insurance and what they mean:

Class 1

National Insurance Class 1 is the national insurance due by employed workers as long as certain conditions are met. It is paid by the employer through the payroll. Read about this in more detail in my previous post here:-

National Insurance Class 1

Class 2

Class 2 is the national insurance paid by self employed workers. You do not have to pay Class 2 if you earn less than £6,205. This is however, going to be abolished from April 2019 so you only have a short time to make any voluntary contributions to make up any gaps in your NI history. You can read more about Class 2 below:

The Pain of Class 2 National Insurance

Class 3

Class 3 National Insurance is a voluntary contribution that needs to be paid if you have gaps in your NI history. You need to pay 35 years of national insurance to be entitled to full state pension.

Why Pay Class 3 National Insurance Contribution?

Class 4

Class 4 national insurance is the NI paid by self employed workers when they have profits above £8,424. You can read more about Class 4 NI below:

Class 4 NI and your profits

 

Feel free to get in touch if you have any queries.

Tax-Return-Checklist

As usual, if you would like any further details on this or any other accountancy matters, please follow this link:

And your quarterly tax calendar for 2018 can be downloaded here:

Tax dates

 

My Top 5 Accountants on Instagram

My top five favourite accountants on Instagram all happen to be women. It wasn’t a conscious decision to find just women but it does seem that there are more women out there starting their own business.  Maybe its the social media effect or maybe when you are so into something that is all you see.

Lately, while on Instagram, I’ve been finding quite a few accountants.  My initial thought was how is this even possible?  What kind of picture would you put up? Another P&L account. Maybe lots of numbers. Or Oooh! Look! The balance sheet balances!

However, these accountants are pretty normal and still somehow manage to make accounts look good on Instagram.  Sometimes, I wish I was starting my own accountancy practice now as it seems like a really exciting period to be a woman and become a sole practitioner.  Anyway, here’s my list of the top five (female) accountants that I have found so far:

Continue reading “My Top 5 Accountants on Instagram”

15 simple steps to create a filing system for your accounts paperwork

These 15 simple steps to create a filing system for your accounts paperwork are aimed at self employed sole traders. You need to keep paperwork for at least 10 years in case you ever get an enquiry from HMRC. Being organised can help your accountant turnover the work faster and also resolve HMRC enquires faster, if you were ever in that situation. Continue reading “15 simple steps to create a filing system for your accounts paperwork”

How to make your own planner

It’s that time of the year when I start planning what I am going to do for the next quarter and as usual I have created my own planner.

There is a link to buy the planner below, however, because I can’t ever find a planner that I am truly happy with, I decided to have a go at helping you create your own planner. Quarterly planners are easier to start off with as it gives you a chance to change it again if there is something that you are not happy with. Continue reading “How to make your own planner”

Refuse to Choose by Barbara Sher

Refuse to Choose by Barbara Sher

I came across this book, Refuse to Choose, while I was looking at different VA services website and one of them had recommended this book. I am so glad I found this book. It’s a lovely book about how to follow all the things that interest you and you are passionate about. The author calls these people ‘Scanners’ and it makes being indecisive and wanting to do everything acceptable.

Another Notebook!

The things that she suggests you do are not really new concepts but they way she writes about it makes it all feel ok. As with nearly every single book or course I read now, they all start with buying a brand-new journal in which to write in. For this book, your notebook or journal needs to be new and special for you to write, draw and doodle all your fantastic ideas. Something like Leonardo da Vinci’s notebooks. I dutifully complied.

Even though I did start my new notebook, I haven’t actually kept up to date with it. It’s currently sitting pretty in my bookshelf along with my notebooks on accounting, tax, blogging, writing and the 3 page a day(!) diary.

Chapters

The book is split up into two parts and 19 chapters. The first part describes what is a scanner and the second part describes what kind of scanner are you? These are the chapters in the book:

Part one
1. All about Scanners
2. What’s Wrong with me?
3. Scanner Panic
4. Commitment Phobia
5. Too busy to do What I Love
6. I won’t do anything if I can’t do everything
7. I can’t get started
8. I never finish anything

Part two
9. About Cyclical Scanners
10. Are you a Double Agent?
11. Are you a Sybil?
12. Are you a Plate Spinner?
13. About Sequential Scanners
14. Are you a Serial Specialist?
15. Are you a Serial Master
16. Are you a Jack of all Trades?
17. Are you a Wanderer?
18. Are you a Sampler?
19. Are you a High-Speed Indecisive?

Type Of Scanner

In Part two, at the beginning of each chapter is a list of questions about that particular type of scanner and if you can answer yes to a lot of these questions then that is the type of scanner that you are. You can be more than one type of scanner. When I went through this, I got Jack of all trades and Double Agent. It then gives a few examples of people in that group and what they do and then lists out potential careers of types of careers and finally what type of tools a scanner needs. There is a list of tools for a scanner in the appendix which is useful as most of these things I’ve not really ever heard of. Some of favourites are the portable dream deck where you can keep several different projects going at the same time, the scanners day book, A ring binder for all your different projects and a catalogue of ideas with potential. Actually, I think I would probably like them all.

The Good Enough Job

Another big theme I found in the book is to find a good enough job if you can’t find the perfect job and then you can spend the rest of your time pursuing the things that you enjoy. There are several chapters that I want to go back and read again but it really does make you feel better that its ok not to have a niche figured out and pursuing. You don’t need to be a specialist and focus all your energies on the one thing, if you enjoy doing several things at the same time.

If, like me you are wanting to everything that you find interesting without giving up anything, this book is for you. I can see why the VA feels like this book is a must for all other VA’s out there because you can offer lots of different services that you are good at as a VA.

The author, Barbara Sher, also has a website and mailing list which can be found here: http://barbarasclub.com/

Go and enjoy this book as I try and figure out how to organise my life so I can do everything I want to pursue!

Buy the book from amazon here:

 

My day as a list

Thought I would try something different and write out my day as a list.  Yesterday was a particularly unproductive day and I felt very frustrated by not getting a lot done.  Tuesday on the other hand had been a really good day. I had managed to complete a few tax returns. Anyway, this was my day yesterday:

  • Press snooze
  • Wake up
  • Shower
  • Quickly get ready
  • Wake up the girls

Continue reading “My day as a list”

My Favourite Accounting Apps

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”

Women in Tax – Leicester

Last Thursday I attended the women in tax meeting at the RSM offices in Leicester. I wasn’t sure what to expect. Would it be formal? Would I have to talk about anything? I’m I intelligent enough to talk about anything tax related? It has been a while since I felt proficient in tax. The most I do now are personal tax returns. And I do generally leave it till the end of the year to really worry and think about them.  Continue reading “Women in Tax – Leicester”