Hello,my question is: How i should calculate percent expenses (rent and etc) if i work different hours every week? can i take every week different percent and calculate,or make annual average hours ? :eek: thanks for every answer.
Printable View
Hello,my question is: How i should calculate percent expenses (rent and etc) if i work different hours every week? can i take every week different percent and calculate,or make annual average hours ? :eek: thanks for every answer.
You should do every week if it is so different it changes the %. The same way you would if you were on holiday.
If the hours are regular but different you may be able to do it on a monthly basis?
Hi,Quote:
Originally Posted by kristinutem
I just keep tabs on hours per week worked, then average it at the end of the year by dividing by 52. It's capped at 40 hours per week average so if it works out greater than this then you can only claim 40.
:)
Can you clarify what you mean by working different hours?Quote:
Originally Posted by kristinutem
are you open the same hours every week?...if so that is how you calculate your expenses....even if you are not full those are 'your trading hours'...the ones you have informed Ofsted you are open for childcare....if they change you must inform the inspectorate
Please check it out with a qualified accountant you can set up your spreadsheet and then you can manage yourself and also check the guidelines that will tell you what a cm can legitimately claim.
If the right formula is put in your Accounts spreadsheet this will calculated automatically what your expenses are....unfortunately some of the stationery sold to Cms is not very good...get the right one.
Good luck
The Expenses % are worked out on the hours you actually have children in your care which are not necessarily exactly the same as your advertised opening hours. You can not apply % for any hours you do not have any children with you.Quote:
Originally Posted by Simona
RS...please read my comment below on the matter.
As I usually recommend...Cms can check it with a qualified accountant.
I agree with RS. Work it out for each week at a time.Quote:
Originally Posted by rickysmiths
Averaging it over the year looks easier and can often result in a higher figure. Say you're working 50 hours pw and take 4 weeks holiday, then your weekly average is 50 hours multiplied by 48 weeks worked divided by 52 weeks in the year = 46.something hours pw on average, so it looks like you can claim 40 hours (the weekly cap) for each week of the year.
But that results in an over-estimate and you'd be over-claiming. I had this straight from an HMRC business education advisor who came to my CM group a while ago.
Accountants will disagree. They're dodgy: I know, I had my first 'proper' job at an accountants' office, and if I ever shake hands with an accountant I always check that I still have the same number of fingers left when I'm done. :p
I find it far easier to do using my attendance register and the back of an envelope than using all that fiddly faffy spreadsheet nonsense. :rolleyes:
Agree that its your actual worked hours that you need to use , not your opening hours. Otherwise , as Im available officially for overnight care I could claim 24 hours a day. Just do it weekly or monthly , whichever you invoice , seems a faff but very quickly becomes a habit
Mam2three and Bunyip
maybe you should read my comment as you have clearly misinterpreted what I said.
Some cms average it every month while others do it yearly...however...please look at the regulations for self employment and what Cms can legitimately claim for hours worked and for running a home based business
Again if unsure contact a qualified accountant...they are trained to know the ins and outs!!...it is very unfair to call accountants 'dodgy'....it is a bit of a sweeping statement.
I do not think that qualified accountants can disagree on how HMRC sets the rules for self employment and claims.
Cms have a choice to do their own accounts and constantly ask questions on forums like this or employ someone qualified....up to each Cm to decide!
This rather implies that we were referencing your comments.Quote:
Originally Posted by Simona
Whilst it would be unfair of me to speak for mama2three, I can state categorically that I, for one, was not.
I respect the fact that your experience of accountants differs from my own. Let's agree to disagree, free speech and all that.
Incidentally, did anyone hear the one about the honest accountant, the dishonest accountant and Father Christmas...................? :D
Like any other service provider Bunyip one needs to move on when the service is not up to scratch
Sorry to hear of your experience with an accountant...did you try anyone else?
I wonder if you would approve of a parent who had a bad experience with one Cm and declared ALL Cms 'dodgy'.
Again your tone is out of place and I ask you again to read my comments...was the last line of your reply really necessary or just your usual sarcasm or charm?
Thanks for your input and sorry to hear of your bad experience....as you sometimes post comments from mothers on a 'certain social media'...you will know life is very hard for all of us whatever service we try to deliver!
"maybe you should read my comment as you have clearly misinterpreted what I said."Quote:
Sorry to hear of your experience with an accountant...did you try anyone else?
I have never used an accountant. Not even the dozens who cold-called me when I was first registered and, presumably for entire altruistic reasons, wanted to charge me for doing a tax return I am perfectly capable of doing myself and swore blind they would save me money on my tax bill even though I could prove to them that I was not earning enough to pay tax. Do feel free to ask an accountant exactly how they'd do that.
My "experience with an accountant" extends to working for two different accountancy firms, under a total of 5 Chartered/Certified partners and at least a dozen other qualified accountants. I saw exactly what went on and can assure everypony that I wouldn't trust one as far as I could spit a rat.
Not my place to approve or disapprove. I try to keep an open mind on this point. Maybe that's why I've managed to turn around the views of clients who have had bad experiences with CMs and/or other EY 'professional' settings. I'm willing to admit it helps when they suddenly reaslsie I'm their child-carer of absolute last resort. :DQuote:
I wonder if you would approve of a parent who had a bad experience with one Cm and declared ALL Cms 'dodgy'.
Neither, it's a joke: not a bad one, either. (It works with solicitors, journalists and MPs too, but it's lost on anypony who has never heard it.)Quote:
was the last line of your reply really necessary or just your usual sarcasm or charm?
(Word)
I have to admit, these posts always make me want to get the popcorn out!
Oh dear, is my New Year's Resolution finally wearing out? :(Quote:
Originally Posted by halor
Word. Word. Word. ;)
Chucking some popcorn at you!Quote:
Originally Posted by bunyip
BIM52751 - Care providers: childminders: expenses
This clarifies that it's the hours worked.
How great...this thread is worthy of Mumsnet...warts and all!
bring on the popcorn indeed!
Thanks for your link Flora Dora....it will help the OP!
Thanks for that FD. :thumbsup:Quote:
Originally Posted by FloraDora
It's this sort of thing that reminds us that tax laws aren't necessarily meant to make sense, but they just are what they are.
Frinstance the 10% wear and tear (if it were a logical piece of reasoning) would suggest that our children wreck 10% of our home every year, amounting to £2.5k +/- of wanton furniture damage annually. . :eek:
Wear and tear examples/explanations for those who need it...there are differences worth knowing about
How to Claim the 10% Wear and Tear Allowance