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Appropriate set-up for small one-off piece of work

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    Appropriate set-up for small one-off piece of work

    Hi all,

    Thank you for reading. I write in a way I would find easy to answer, hope it meets your taste/standards.

    I am a permie, mid-management in a medium (FTSE-250) company. I was asked by another department to help them out with some IT issues. They offered to pay overtime (and I did do the work in my spare time). Turns out people at my level can't be paid overtime.

    I've been asked to 'invoice' the other department for my time so they can pay it as a bill, rather than through the payroll system.

    I don't intend to go into contracting (yet) so I would like your advice, please, on the most cost- and time-effective legal mechanism for billing the other department. Cost is ~£1,000 (based on paltry permie wages!).

    Can I do this without setting up a company and everything that goes with it? If I do have to do so, which corners can I legitimately cut?

    I have already completed the work, and they are very happy with me(!) so I don't need to worry about various 'protections'.

    Thanks in advance

    #2
    Simply invoice them (as yourself) and declare the income on your tax return.

    Comment


      #3
      Indeed, know people who do odd bits of work and they do that with no probs.
      bloggoth

      If everything isn't black and white, I say, 'Why the hell not?'
      John Wayne (My guru, not to be confused with my beloved prophet Jeremy Clarkson)

      Comment


        #4
        Originally posted by k2p2 View Post
        Simply invoice them (as yourself) and declare the income on your tax return.
        What K2 said.

        You will have to sign up but they don't spam you.

        Just remove any reference to a company and complete as an individual.
        Last edited by Contractor UK; 3 August 2021, 17:39.

        Comment


          #5
          Tick in box

          Thank you,

          That was clear, unambiguous and (most usefully) completely unanimous.

          Thank you very much

          Comment


            #6
            I might be being a bit paranoid here, but invoicing as a sole trader means that, down the line, if something were to go wrong with the work you did and the company decided to take action, you could/would end up personally liable.

            Not very likely but you never know...
            Contracting: more of the money, less of the sh1t

            Comment


              #7
              Originally posted by kingcook View Post
              I might be being a bit paranoid here, but invoicing as a sole trader means that, down the line, if something were to go wrong with the work you did and the company decided to take action, you could/would end up personally liable.

              Not very likely but you never know...
              And don't you need to be registered as self employed beforehand?

              Comment


                #8
                Separate issue, but operating through a limited company does not render you immune to a suit for negligence. Employees or directors of companies can still be personally liable.

                As said above don't think you need to be registered as anything when occasional casual work is concerned. People I know have never had any comeback from HMRC insisting they register as this or that, they are just taxed on earnings as per their self assessment. If work becomes more regular or is actively pursued as a business it's a different matter.
                bloggoth

                If everything isn't black and white, I say, 'Why the hell not?'
                John Wayne (My guru, not to be confused with my beloved prophet Jeremy Clarkson)

                Comment

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