By Jerry Mooney
When you’re self employed, completing a self assessment is probably one of the least fun parts of it all. Making sure you’ve done everything properly is important. Missing any steps or failing to prepare could mean paying a lot more than you’re supposed to. It could even mean paying a lot less than you’re supposed to, and being hit with a bill or getting into trouble later on. If you’re new to all of this self assessment stuff, here are 5 ways you can nail yours:
Keep Accurate Records All Year Round
Keeping accurate records all year round will save you so much stress and hassle in the long run. You may find it helpful to keep an online spreadsheet or keep a book with everything that you need to keep track of inside. You can then look back at this when completing your assessment so you don’t have to mess about. However, it’s important you keep receipts and things like that too. Accurate records will not only help you complete your assessment, they’ll save you if you get checked out at any point and need to prove what you’ve earned/spent.
Make Sure You Stick To Deadlines
Make sure you’re aware of the deadlines and you stick to them. If you’re completing a paper return, you’ll need to do this earlier on than the online return. An online return is easier on general, so it’s a good idea to create an account online and keep your details safe.
Save Up Money As You Go On
Save up money all throughout the year so you can pay what you owe without panicking or needing to save up at all. This is what all smart business owners and one-man bands do. Although you will have time after you’ve completed your assessment to pay, saving some up in advance is a smart thing to do.
If you are wanting to check how much you owe or will owe to tax in the future then you should use an online calculator. This takes into account all your income and expenditure and gives you an accurate figure on how much you owe to tax. This gives you the chance to save up so you are never behind on your taxes.
When you are self-employed it is vital you get your figures right, falling behind could mean the end of you and your business. Using a self employed income calculator can save a lot of trouble and guesswork.
Use An Accountant
Using an accountant is definitely the easiest way to nail your self-assessment. If you choose the right person, you’ll be able to save a lot of money, not to mention hassle on doing it yourself. You will have to pay them for doing it for you, but you could still save a small fortune by having them do it for you. Looking for appropriate accountancy services will save you many headaches.
Do Lots of Research
Make sure you do as much research as possible, so you know exactly what you can claim money back for and what you can’t. It can take a while to get to grips with the rules, but you’ll be well equipped to do all of this yourself once you are clued up.
Give yourself plenty of time to research and complete your self assessment so that you get it right. If you leave this until the last minute, you’re going to feel stressed and may even get some elements wrong. If you have any ideas to help people with their own self assessments, leave them below. Come back soon!