Got the sack...

[andytheflyer]

Well done - but get an accountant pronto - they will save you money in the longer run. You'll be amazed at what you can offset against tax.

 

[hedder2212]

Nice one @hedder2212

ive often fancied doing this with bikes but i just did one at a time.
bought and sold a lot of bikes..repaired and serviced etc
zx12r was a very awkward top end service bike..but what a bike..

good luck , i really hope it works as there's nothing better than loving your job

Just finished doing the fork seals on a zx12r..... not fun.

accountant is sorted. Been keeping ontop of everything. Putting so much away etc etc
Just working my way through my waiting list right now. Got a few scooters to do this week. Tyre machine coming next week so ill be able to do tyres too.
Next on the list is a 2015 bmw 1200 gs in for having SIX!!! spotlights fitted along with some crash bars.

 

[Scoosh]

You've obviously got a good client list for starters - Happy Christmas looms ! = !

 

[bikingdad90]

Good luck. My only comment would be to get your national insurance sorted, if you ever fall on hard times again you will want to be able to claim JSA or similar if required and you'll want to qualify for state pension under the new system

 

[ColinJ]

Self-employed NI contributions won't cover him for anything except the state pension I believe.

I just checked and you are half right - no contribution-based JSA, but everything else seems to be covered - LINK.

 

[raleighnut]

We had a guy come and work at a place I did, he'd been a self-employed IT guy til he came to work with us. 2 weeks after starting he left and claimed JSA (I know cos me and the boss were mates and he told me that the DWP had been on to him about the guy) so there are ways to get on to benefits after being self employed.

 

[MissTillyFlop]

I just checked and you are half right - no contribution-based JSA, but everything else seems to be covered - LINK.

No, there's no SSP, Statutory Maternity pay (although that shouldn't be an issue in this case!) or anything which is contribution based. Hang on, will find a useful thing from the Equity site...
https://www.equity.org.uk/news-and-events/equity-news/national-insurance-status-of-entertainers/

I know it says entertainers but these apply to all self employed folk going from being employed

CC xx

 

[raleighnut]

After, but not while. I've been self-employed for over 30 years. You can't rely on benefits as a fallback.

Yep, only after working for an employer, funny thing is Amjad was about to blow the guy out cos he was useless.

 

[Levo-Lon]

Self employed is tough at times..do a good job ,dont take the pee..and put your tax money away..
there is no bigger suprise than a big tax bil you didn't save forl ...put 20% of your profit away every month and you will be quids in..
use an Accountant..

 

[marknotgeorge]

If your turnover reaches £6800 or so a month, you should prepare to register for VAT. This is because you have to register for VAT if your turnover exceeds the threshold (currently £82,000 - equivalent to £6833 a month) in a rolling 12 month period. This period doesn't necessarily coincide with your accounting year or the calendar year.

 

[ColinJ]

Class 4?

I have never earned enough to have to pay them!

I thought that all self-employed pay Class 2 and that Class 4 contributions are made on income over a certain threshold.

 

[ColinJ]

No, there's no SSP, Statutory Maternity pay (although that shouldn't be an issue in this case!) or anything which is contribution based. Hang on, will find a useful thing from the Equity site...
https://www.equity.org.uk/news-and-events/equity-news/national-insurance-status-of-entertainers/

I know it says entertainers but these apply to all self employed folk going from being employed

CC xx

In that case, Citizens Advice are giving the wrong advice!

Which contributions pay for which benefits

Class 1
Class 1 national insurance contributions count towards contribution-based Jobseeker’s Allowance, Incapacity Benefit, contributory Employment and Support Allowance, Bereavement Benefits, State Retirement Pension and Maternity Allowance.

Class 2
Class 2 contributions count towards the same benefits as Class 1, except that Class 2 will not usually count towards contribution-based Jobseeker’s Allowance.

 

[marknotgeorge]

I have never earned enough to have to pay them!

I thought that all self-employed pay Class 2 and that Class 4 contributions are made on income over a certain threshold.

Class 2 on earnings over £5965, class 4 on earnings over £8060. Class 2 is a fixed amount, class 4 a percentage of profits.

 

[Levo-Lon]

If your turnover reaches £6800 or so a month, you should prepare to register for VAT. This is because you have to register for VAT if your turnover exceeds the threshold (currently £82,000 - equivalent to £6833 a month) in a rolling 12 month period. This period doesn't necessarily coincide with your accounting year or the calendar year.

dont think that will happen with OP as a sole trader fixing bikes.. i hated VAT when i was registered..

 

[ColinJ]

Class 2 on earnings over £5965, class 4 on earnings over £8060. Class 2 is a fixed amount, class 4 a percentage of profits.

I have been paying voluntary Class 2 contributions to maintain my NI history but obviously most self-employed people will have to pay them, and some Class 4.