If an aspiring actor, musician, photographer whose just doing a bit of ‘on the side’ work or a full-time self-employed professional bookkeeping is an essential skill. The earlier learn bookkeeping skills the better.
Buy a little book where you can not expenses down or there are plenty of apps available.
Confused on what records you should be keeping?
HMRC provide guidelines on keeping records here.
One lesson to learn early on is took keep your reciept – make sure that you ask for a VAT receipt and don’t just rely on the credit/debit card printout as this rarely gives any information about the goods and services purchased.
If you are unsure whether you can claim an expense or not, make sure to get a receipt and then contact us and ask for our advice.
Always make sure you take not of the purpose of the expense. For instance, if you have to spend a night in a hotel to attend a performance, take note of it on the receipt. Months, or even years later it can be difficult to remember the purpose of an expense. Noting it down will ensure you can justify all expenses.
Keep record of your monthly income, reviewing annual income each month to ensure that you don’t breach the VAT registration limit. This is currently £82,000.
Often, there is a benefit to voluntarily registering to use the flat rate VAT scheme once your income levels are established.