Putting Tax Money Away

[Chatterbox Childcare]

I have seen that there are a few people struggling to pay or have not saved their tax money.

Just food for thought - if you stopped childminding in Jan 2011 where would the funds come from to pay you 09/10 tax bill?

Makes you think doesn't it?

[venus89]

I put £25 a week aside for tax and emergency money - like if the fridge stopped working. It works out as a nice sum at the end of the year and means I have a sum saved up if I need it :D

[estrelas]

:blush:

Yep your right

i really ought to save, put some away. I've learnt alot of lessons this year in my first year

[Daftbat]

Thats one of the reasons that i also do my tax return straight away and submit it - at least then you know how much you need to put away each month.

I couldn't cope at all with leaving it until the last minute to submit a return and then pay the tax just hoping that i had put enough away.

[littletreasures]

I put one set of voucher money away in the building society. That's enough to pay my tax bill each year and as it's gone straight in I haven't missed it!!

[grindal]

I have put 20% of my earnings since April last year in a dedicated building society account. Looking at my accounts so far I do not think I will have any tax to pay for this year (my first year of minding) but my understanding is that I do not have to pay anything till Jan 2011 and will then have to pay for 2009/10 and half of 20010/11? Is this correct?

[TheBTeam]

Same here, i have done a projection of earnings/expenses and then calc approx tax and put a bit more than that away each week so that i can pay off the tax year due in the april that it is owed for, and then if i ever stop minding I have tax roughly up to what is owed as opposed to when the IR want it from you.

I also keep an eye every 3 months or so that the income/expenses to date plus the projected bit for the rest of the year are still on track to give me enough tax money, and when i then put on a few expenses i wait till the end of the year to do, it usually means i have a bit left to spend on my family!

[Pudding Girl]

I have put 20% of my earnings since April last year in a dedicated building society account. Looking at my accounts so far I do not think I will have any tax to pay for this year (my first year of minding) but my understanding is that I do not have to pay anything till Jan 2011 and will then have to pay for 2009/10 and half of 20010/11? Is this correct?

It depends how much you have to pay in 09-10 as if it's under a certain amount (£500 is it? can't recall) then you don't have to do the paying on account thing in advance for the next one.

[daisyboo1980]

i put some away each month but ive only been minding since sept
someone posted on here how much u should be paying

[Mollymop]

I'm going to have to start putting money away as I will be paying tax in 2011. ekk!

[Chatterbox Childcare]

I have put 20% of my earnings since April last year in a dedicated building society account. Looking at my accounts so far I do not think I will have any tax to pay for this year (my first year of minding) but my understanding is that I do not have to pay anything till Jan 2011 and will then have to pay for 2009/10 and half of 20010/11? Is this correct?

I think it just went up and once you pay £1000 in one year they will ask for 50% in January for the following year and the same again in July. All paid comes off of the following Januarys bill.

[grindal]

Thanks for that Debbie. There is no way I should be paying over £1000 tax for this tax year - not with all the hints you have taught me about expenses :blush:

[SandCastles]

Thanks for sharing - I am now going to start a little tax fund as I haven't even thought about it before. I have been childminding for a year now and have spent ever penny earnt. From next month I will defo start being money organised. Thanks again for all your help and top tips