OUTGOINGS

[fruitcake]

hey up.

just wanted to start a bit if discussion with regards to peoples different outgoings for their work.

For example how much money from each job or each weeks work people like to put aside for everything, such as tools, insurances, overheads, transport etc etc,.

ta

 

[skimmin2day]

I put away 30%to cover tax n/i accountant fees.
Another 5% for advertising insurances etc.and 5% for tools and rainy days.
So 40 % in total.
you always get a slice of money back at end of year accounts then update your van so your continously evolving with good van tools.Which youl get tax releif of next year etc etc etc...
But for the last few months ive had to drop it down nearer 30% becuse the work im getting aint paying me.

 

[iain_flanagan]

10-15 % depends on how big your over heads are

 

[essexandy]

I think the best thing I ever did was start a business account, all monies earned go in, draw a weekly or monthly wage as if you were employed by someone else, whats left is there for day to day running costs. End of year pay any tax out of account and whats left after that is your profit for the year.

 

[iain_flanagan]

good advice that andy weve had a buisness account for 10 years and its alot easier to see whats going in and out also alot easier to deal with the bigger jobs and better to to approach your buisness manager if your waiting on money coming in than a standard account

 

[TonyM]

Because nearly all my work is CIS, I don't put any by as I always get a rebate. Am waiting for £6500 at the moment. Any vatable jobs I do, on payment, the vat is transferred to another account. You can't afford to spend that as HMRC will hit you hard if you don't cough on time. My only overheads are my van, and my public & employers liability. I do all my banking online. Piece of piss really.

 

[napper83]

same as tony above really but i dont really count the van as an overhead as its my only transport so would be paying insurance serviing ect ect... anyway as for tools the most expensive thing i own is my mixer and have a cheaper spare as a backup if the main refina one ever breaksdown the rest of a plasterers tools are fairly cheap i think in realtion to other trades anyway