View Full Version : what is TURNOVER?
hi there everyone, just a quick question.......
does anyone know whether TURNOVER means gross profit or net?
(as im just getting slightly confused, as in the NCMA booklet it says that if you have an anual turnover of £15,000 you cant follow the rules ncma/hrc have agreed? i think my gross profit without all the deductions for expenses etc will be around 16k, and obviously once i work out my net figure it will defo be under 15k, so im prob worrying for nothing!)
do you think turnover means net profit??
thanks in advance for any advice :)
amy x
Kelly
13-05-2008, 12:47 PM
Yes Amy your turnover is your net profit.
Kelly
excellent kelly many thanks :thumbsup:
deeb66
13-05-2008, 01:35 PM
Many childminders get confused at exactly what Turnover means.
Turnover means how much you earn......that is how much the parents pay you before you make any deductions what so ever!!!
So it is really your Gross profit.
However.......there is really good news.
NCMA has negotiated with the tax office to increase the Turnover threashold from £15,000 to £30,000.
It will be in the new members books which will be going out in next couple of weeks.
I have also spoken to NCMA helpline and said that it might be a good idea that it is flagged on the website as not many minders know about it yet!!
Kelly
13-05-2008, 04:44 PM
:blush: Sorry about that, I always thought as my turnover as how much I had left once I had deducted all my expenses etc.
Lesson learnt many thanks Dee, sorry Amy :blush:
breezy
13-05-2008, 04:59 PM
NCMA has negotiated with the tax office to increase the Turnover threashold from £15,000 to £30,000.
thanks Dee, didn't know that bit!
miffy
13-05-2008, 05:02 PM
Didn't realise NCMA were responsible for this
miffy xx
sarah707
13-05-2008, 05:03 PM
Kelly don't worry about it... it's a really easy one to get confused.
I didn't know that either Dee, thanks for sharing!
To those who don't know, this will not just apply to NCMA members but to ALL childminders regardless of whether they use the NCMA for their insurance or their accounts books.
NCMA lobby on behalf of all childminders.
Good news! :D
deeb66
13-05-2008, 06:33 PM
:blush: Sorry about that, I always thought as my turnover as how much I had left once I had deducted all my expenses etc.
Lesson learnt many thanks Dee, sorry Amy :blush:
Don't worry Kelly......:D
Took me more than a few years to work that one out too.......it was only after I started going over the threashold that I realised the difference.
I was told that NCMA negotiated the increase but from what I have seen I am beginning to believe that it is a government thing anyway......not entirely sure on that yet though as I am still trying to do more research.
Will let you all know when I find out!
ooh thanks dee thats brilliant info, and brilliant news!!
so i guess either way- as long as i keep full business accounts then thats all i need to worry about! :thumbsup:
kelly- dont be sorry!! i thought that too didnt i!! i honestly thought it was net, it made more sense to see it as that!!
thanks everyone
x