The short version: Being self employed means you work for yourself rather than an employer. You find your own clients, set your own rates, and handle your own taxes through Self Assessment.
Sole trader or limited company?
Most self employed people start as sole traders. It’s simpler and cheaper to set up. Limited companies have more admin but can be more tax efficient at higher income levels. You can switch later if it makes sense.
What do you need to do?
Register with HMRC as self employed, keep records of your income and expenses, file a Self Assessment tax return each year, and pay your Income Tax and National Insurance on time.
What about expenses?
You can deduct genuine business costs from your income before calculating tax. Equipment, travel, professional fees, a proportion of home costs if you work from home. Keep receipts.
Just started working for yourself? Let us help you get set up properly from day one.
