Quick check

[gareth01422]

Hi guys

Looking for some advice and or a quick check of my calculations with my accounts.

I'm only a one man band contractor and not VAT registered so its only a small excell spread sheet.

Would someone please have a look through it make sure ive understood what HMRC web site is saying?

Gareth

http://www.filedropper.com/accounts-fornet

[tractor]

....

Sure, please sent me £1250+ VAT and I will send you my comments and an invoice

Seriously, get an accountant!!

[gareth01422]

Sure, please sent me £1250+ VAT and I will send you my comments and an invoice

Seriously, get an accountant!!

Thanks for the advice

[northernladuk]

Am sure it will do. You have obviously shown the diligence required in making sure your accounts are in order and you have fulfilled your legal obligation to your company.....

[gareth01422]

Am sure it will do. You have obviously shown the diligence required in making sure your accounts are in order and you have fulfilled your legal obligation to your company.....

Thank you, And if you ever need any help with any CAD work then please give me a shout.

Gareth

[mudskipper]

Gareth - I'm no expert - I don't do my own accounts.

But I did take a quick look at your spreadsheet.

I didn't spot any provision for employers/employees NI payments.
Also, if you're travelling all those miles, you've presumably got other expenses you could be claiming - lunch etc.

I know it's difficult when money's tight, but an accountant is a lot cheaper than getting it wrong.

[gareth01422]

Gareth - I'm no expert - I don't do my own accounts.

But I did take a quick look at your spreadsheet.

I didn't spot any provision for employers/employees NI payments.
Also, if you're travelling all those miles, you've presumably got other expenses you could be claiming - lunch etc.

I know it's difficult when money's tight, but an accountant is a lot cheaper than getting it wrong.

Hi

Thanks for the reply

Ive looked into the National Insurance and found 2.65/week from the site below (link)
https://www.gov.uk/national-insuranc...urance-you-pay

As for claiming food expenses, I couldn't claim anything because I only worked on this contract while having the LTD company. I say this because of this quote “if a contractor creates a limited company specifically for the purpose of working on a particular contract at a single location, with no other contracts before or after, they’d be hard pressed to convince HMRC that their expenses claims are legitimate.” Taken from this page which is a ver interesting read.
Contractor Doctor: Can I claim for regular lunch and food expenses?

Gareth

[Wanderer]

I'm only a one man band contractor and not VAT registered so its only a small excell spread sheet.

Did you know you can probably get money for nothing (or very little) by being VAT registered and on the FRS?

How much salary are you paying yourself? If it's none then you are probably paying a lot of tax that you could avoid.

If you have taken dividends then do you have the proper meeting minutes and vouchers done?

As for claiming food expenses, I couldn't claim anything

If you can't claim for food then what makes you think you can claim for mileage?

Honestly, you need to get an accountant to review all this immediately and get it right. Go and read the Accountant Recommendations thread and speak to a couple of them.

I know accountants cost money but it really is a false economy to not have one Get professional advice or you will end up paying a lot more tax than you have to not to mention fines and penalties for messing it up.

[gareth01422]

Did you know you can probably get money for nothing (or very little) by being VAT registered and on the FRS?

How much salary are you paying yourself? If it's none then you are probably paying a lot of tax that you could avoid.

If you have taken dividends then do you have the proper meeting minutes and vouchers done?



If you can't claim for food then what makes you think you can claim for mileage?

Honestly, you need to get an accountant to review all this immediately and get it right. Go and read the Accountant Recommendations thread and speak to a couple of them.

I know accountants cost money but it really is a false economy to not have one Get professional advice or you will end up paying a lot more tax than you have to not to mention fines and penalties for messing it up.

Thank you for the advice which I am going to do.

[mudskipper]

Hi

Thanks for the reply

Ive looked into the National Insurance and found 2.65/week from the site below (link)
https://www.gov.uk/national-insuranc...urance-you-pay

As for claiming food expenses, I couldn't claim anything because I only worked on this contract while having the LTD company. I say this because of this quote “if a contractor creates a limited company specifically for the purpose of working on a particular contract at a single location, with no other contracts before or after, they’d be hard pressed to convince HMRC that their expenses claims are legitimate.” Taken from this page which is a ver interesting read.
Contractor Doctor: Can I claim for regular lunch and food expenses?

Gareth

CHeck this link:

Guide to National Insurance Contributions (NICs)

Unlike sole traders, for tax purposes, if you are a director of a limited company, you are an ‘employee’ of the company. You are therefore liable to pay Class 1 NIC’s on your earnings. The limited company is also liable to pay Class 1 NIC’s as your ‘employer’.

Employees (Primary Class 1 Contribution) pay 12% on earnings between £146 and £817 per week, and 2% above £817 per week [2012/13].

Employers (Secondary Class 1 Contribution) pay 13.8% on earnings above £144 per week [2012/13].

These NIC deductions should be paid to HMRC by the 19th of each month, unless payments are low, where you may be able to pay quarterly.

So for a salary of £200 a week I make that about £14.64 a week.

And AFAIK you're supposed to pay it as you go (hence PAYE) so I think you're already in trouble if you haven't been doing that. Hopefully an accountant can sort you out.

If you've been taking everything you've invoiced as a mixture of salary/dividend without setting aside an appropriate amount for your tax liabilities, that also makes your divvies invalid - you can only take divvies from profit - i.e. after tax liabilities. Please get help to sort this out or you could get in a whole heap of trouble.