Self employment advice please?

[macka09]

Hi all. I've recently gone self employed and I'm currently subbying to a plumbing firm.

I have no idea what needs to be in place or what insurance I may need? I'm currently taxed at source so I should only have to pay my NI contributions I believe.

Any advice you guys can give me would be a great help.

Thanks in advance.

 

[Chalked]

Have you got a Utr number yet? Register on hmrc
You will need your own public liability insurance.

Do you know that you can't work for the same person labour only !

 

[macka09]

I do have my utr number.
What do you mean I can't work labour only for some?

If I'm doing a job for a company under their name do I not fall under there insurance?

 

[A1P]

I do have my utr number.
What do you mean I can't work labour only for some?

If I'm doing a job for a company under their name do I not fall under there insurance?

It would be worth looking up the definition of self employed on GOV.UK.If you just work for one company/person and in effect you are not running your own self employed business,you become employed for PAYE purposes.If you meet their definition of self employed then you would operate under your own public liability insurance as you would have a number of customers.If you meet the definition of self employed this company would pay you on a CIS ,tax deducted basis.This is my understanding of something that is not as simple as it seems.

 

[quality]

I am not too sure how the contractor / subcontractor system works with a single source of work. But a friend of mine runs his business (20 Years) as a motorway barrier installer, he has 10 + men on his contractor list but they are all self employed, They only get paid for the hours they do but only get work from him. Most are young chaps earning a wage but only do it until they get on the books with the main contractor which can be 5 -6 years if it fits

 

[macka09]

It's unusual for me as I've always been an employee. I've only gone self employed as 2 companies are giving me work on an hourly rate but on a self employed basis.

 

[quality]

If I were you I would take the work and charge 30% on top of your hourly standard, to cover HMRC and NI fee`s plus everything else

 

[jtsplumbing]

Ring HMRC and get this sorted out asap, or you will find yourself in deep S--t with the Tax man and that is something that you don't want, believe me if they get on your case they will bleed you dry and still want more these people take no prisoners.

 

[macka09]

What exactly is wrong with doing a self assessment and subbying to someone?

 

[jtsplumbing]

They don't like you working for only one person, in there eyes that person could employ you, full time.

 

[A1P]

As I understand it the contractor does not pay employers NI so less for HMRC. He also does not have to offer the rights/benefits that an employee gets.That is where the distinction between been employed and self employed matters.It is a hassle as most of us just want to earn a crust.

 

[Chalked]

The main definition of being self employed is that you " take a risk" Ie. You need to supply materials and make a mark up on them. Not just labour. If you are going to work for two seperate companies, you might be ok ( 6 months a year for each) .

Ring hmrc. They will point you in the right direction.

 

[shyguy2005]

Working as self employed (labour only) for some all year round is pretty much like working on a zero hour contract. Just a way for the firm/guy not having to worry about paying you holiday pay, pensions etc.

Inland Rev won't like this