Value-added tax (VAT) is charged on most goods in the UK. Some goods are exempt, and others have lower rates added to them, but most are charged at the standard VAT rate of 20%. Many very small businesses don’t need to register for VAT, but once your annual turnover passes the threshold, which is currently £85,000, it’s compulsory. You can also voluntarily register before reaching the threshold, which is useful for some businesses so they can get in the habit of charging VAT. If you’re wondering how does VAT work, take a look at the information below.
Continue readingYear End Accounting Checklist
The end of the financial year is a big moment for any company and having everything organised ahead of time can save you a lot of stress and worry. Too many businesses go into crunch time, desperately working to get everything they need to be done before that year-end. Here, we’re going to look at a year end accounting checklist of accounting tasks you have to complete, so you can get to work on them in advance.
Continue readingA Guide To UK Tax Codes For New Employees
When a new employee is hired, they will need a tax code. However, the tax code for the new employee will depend on whether or not a valid P45 has been handed to the new employer. In this article, we are going to talk about the UK tax codes for new employees. If the new employee has successfully provided the employer with a valid P45, then the employer should use the tax code that is stated on the P45.
Continue readingHow To Do A Cash Flow Forecast
Keeping the company finances in good health is one of the hardest challenges facing any business owner, and cash flow management is undoubtedly an integral feature. After all, money tied up in assets or future transactions counts for very little if it isn’t supported by having the cold hard cash to get through the foreseeable future. With this in mind, knowing how to do a cash flow forecast is one of the most significant skills you could ever learn.
Continue readingAccounting Standards Changes
Due to the introduction of new accounting standards, commonly referred to as ‘New UK GAAP’, the form and content of company accounts has changed. The changes for non-small companies took effect for accounting periods beginning on or after 1st January 2015. In many instances companies will now show a different bottom-line profit or loss and a different total for net assets on the balance sheet.
Continue readingData Security General Data Protection Regulation Ensuring Compliance
The General Data Protection Regulation (GDPR) replaced the existing Data Protection Act and applies from 25 May 2018. The GDPR requires all organisations that deal with individuals living in a EU member state to protect the personal information belonging to those individuals and to have verified proof of such protection. Failure to comply with the regulation will result in significant fines.
Continue readingHow To Register As Self-Employed
If you’re carrying out work or earning money independently (i.e. not as an employee), you need to register as self-employed. You could be a plumber or electrician, someone who sells on eBay or Etsy, or a virtual assistant. However you’re earning money, if it’s not being taxed through PAYE, it needs to be taxed through self-assessment.
Continue readingUK Payroll Guide
Having the right payroll system is imperative to ensure you are paying your staff accurately, on time, and in-keeping with the law. The law states how things like national insurance must be deducted, how payslips are issued, and records kept/returns to the tax man. These things all come under ‘payroll’ and must be taken care of for the million or so UK businesses that employ staff.
Continue readingHealth and Safety Checklist
Health and Safety Checklist…If not already in place, the following are practical steps you should take today.
Continue readingHealth and Safety
It is very likely that owners and managers of many smaller businesses are not aware of just how demanding health and safety regulations can be. We provide an overview of these below and highlight some practical tips and processes on how your business can remain (or become!) compliant.
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