HOW MUCH?

[shelly04]

Hi there,

Starting childminding in august last year so for my first Self Assessment was nothing now I am panicking got not idea about all this money situation and what to put away for this year for tax. How much do you need to earn before you have to pay tax and what would you suggest to put away. Is the amount for Scotland and England the same? got my thick head on tonight.

Shelly

xx

[huggableshelly]

The personal allowance for the tax year 2008 to 2009 is £6,035.

I've no idea if its the same in Scotland sorry

[singlewiththree]

I've not started putting away yet but some people recommend putting a 1/3 of your income away and if you don't need it then you have a bonus at the end of the year :)

I've only got temporary and part timers at the moment and paid in cash so there is no way I get to put any of that away at all.

[RedDragon]

If you search on the topic you started a thread on there is loads of info that can help you.

This is my 1 big worry so chances are my name will crop up tons of times in the threads.:blush:

Some people have trouble with parents, some have trouble with late payers - mine is worrying about tax, expenses etc.

There is a long list of things you should be putting down in your expenses - this is a great help because it shows you what you should be writing down and then you can take this off your gross earnings before MrT (Taxman) gets a grip.

[Mollymop]

This will be my first tax year as i started in April last year. I haven't been putting any money aside, but I think once I take my 10% off for wear and tear I should be ok and not have to pay any tax, but only just.

Do you use an NCMA account book or similar, can you have a look at your earning this tax year so far and see how much profit you have made so far to get some idea as to if you have to pay any tax.

[RedDragon]

You know when you said after you take your 10%off you should be ok - you know you can take off around 2/3 as well as the 10% don't you (as long as you can verify it).

[Mollymop]

You know when you said after you take your 10%off you should be ok - you know you can take off around 2/3 as well as the 10% don't you (as long as you can verify it).

Oh yes, I know. I do my accounts every month and take off my expenditure. Thanks x

[Allie]

I put up about a third of my income and anything left over goes towards my holiday

Allie

[Alibali]

Yes it's 6035 in Scotland too! I've just done my books to the end of this month (one month left to go) and so far I'm at 5500, with a total income of 14 500. So I don't suppose I'll be paying much tax:D :D :D

[manjay]

Yes it's 6035 in Scotland too! I've just done my books to the end of this month (one month left to go) and so far I'm at 5500, with a total income of 14 500. So I don't suppose I'll be paying much tax:D :D :D

Me neither!! This year will be my 3rd sa form and this will be the first year I will show a profit but not enough to pay tax:D

[tigger]

Say you have made £2000 profit does anyone know how you work out how much you would have to pay the tax man? Not that I've made any profit but I was just wondering how the tax man works it out.

[littletreasures]

I think it's taxed at 22% above allowance so if you make a £2000 profit you would have to pay £440. Not sure if you would then have to pay half of next year's as well then or not.

[Minstrel]

if you only made £2000 profit then you would have no tax to pay. If you mean £2000 after deducting your personal allowance of £6035 then you pay 20% of the £2000

hope i've helped and not confused more...:littleangel:

[Chatterbox Childcare]

Be aware that the NI limit is lower than the IR allowance and you have to pay Class 4 on any profit over this figure. I don't know the exact amount for this year but it will be available on the IR website.

I put away 10% of my monthly earnings and so far that has been enough to cover my tax bills.