Business account

[gt1]

Hi there, I was wondering do I need to open a business account to be paid my fee in to ?
thanks in advice
Gillian

[Rick]

You don't have to have a business account, I don't

[Kiddleywinks]

I have several bank accounts

I give details of 1 to parents for them to make direct payments into, one is a housekeeping account and another is my bills account (all my direct debits and standing orders)

Each month I transfer an amount over from my 'parents' account to my 'bills' account so I know my bills are covered, transfer some into my 'housekeeping account' for food/extras/treats and any childminding buys and leave the rest to build up for any tax bill, our holidays, or bigger purchases (my washing machine resigned after our last holiday leaving me with 4 large suitcases of washing piles scattered in the living room and no way to get them clean lol. Thank goodness I had the funds to go and get it replaced immediately).

Should any parents pay me cash, it's logged into my accounting spreadsheet as income received, and I produce monthly invoices for parents (and the tax man).
9 times out of 10 I don't bank the cash, just keep it on me and use that instead of using the housekeeping account.

The bank has never queried it, and until they do, I am happy to keep things the way they are.

[Simona]

No it is not compulsory to have a business account...but why not?

My personal view is.... why mix private and family financial matters with business maters when you can separate the 2 of them very easily?

Many CMs also have a Business Savings account where they transfer money every month and save for future bills such as training, insurance and Ofsted fees and much more...worth thinking about

[littlefootsteps]

I have one but i tend to just use whichever card i see first lol. The idea was to keep everything separate... didn't last long