Hi all, just looking for a little advice.
I currently work in a full time role earning £21,000 per annum, I have the opportunity to do some freelance work for an old employer and one of his friends, this will amount to around £12,000 per year.
Obviously I want to do it and boost my income, would really help out. I'm just looking at how the tax would work out, I can declare it as a second income, pay 20% tax and 12% national insurance, which will leave me with (around) £8160 of my £12,000 extra income.
Would I be better setting up a company to invoice the two people and then take my payment from there? What will be the tax on this?
I would also have some costs that I would want to claim against if possible, it's web design and development so there would be hosting costs, theme costs, domains and the odd bit of traveling (fuel) so would I be able to claim these back?
Thanks
Scott
I currently work in a full time role earning £21,000 per annum, I have the opportunity to do some freelance work for an old employer and one of his friends, this will amount to around £12,000 per year.
Obviously I want to do it and boost my income, would really help out. I'm just looking at how the tax would work out, I can declare it as a second income, pay 20% tax and 12% national insurance, which will leave me with (around) £8160 of my £12,000 extra income.
Would I be better setting up a company to invoice the two people and then take my payment from there? What will be the tax on this?
I would also have some costs that I would want to claim against if possible, it's web design and development so there would be hosting costs, theme costs, domains and the odd bit of traveling (fuel) so would I be able to claim these back?
Thanks
Scott