The evolving ‘nightmare’ of defining your deemed #employment or#self-employment status in the U.K., or not…more gems from our network regarding #Tax #Law
As everyone probably already knows there are tax and national insurance advantages to being self employed and to employing casual workers on a self employed basis.
As an employee, on most of your income (assuming you aren’t a higher rate tax payer) you will pay 20% tax, 12% employees NI and your employer will pay 13.8% employers NI, so thats 45.8% in tax and NI.
If you are self employed the equivalents are 20% tax, 9% Class 4 NI and £2.50 per week Class 2 NI, plus you can claim business related expenses that you probably wouldn’t get as an employee.
Whether employed or self employed you will get a tax free allowance of £7475.
For full details follow these links:
So why isn’t everyone self employed?
Why not start by taking the HMRC test known as the ‘Employment Status Indicator’?
You can take the test as…
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