Going Part Time Self Employed

[MichelleParticipant]

I wasn’t sure whether to post this here or in money hang ups. I am about to change jobs and move cities. I will be going from nice and neat full time employment to part time employed and having to find irregular part time self employed work. This terrifies me! My dad was not good when it came to tax when he was self employed and I know I inherited a lot of his spending traits. I need some to take over my expenses for me every month and do my tax.

[RebeccaParticipant]

Hello Michelle! Have you thought about maybe hiring an accountant or using an app that helps self-employed people with their tax returns, etc? You’ll need a bigger cash buffer as a self-employed person, maybe closer to six months’ worth of income in reserve, and will need to work out how much you need to earn in order to cover holidays and sick days, as once you are self-employed, you don’t get paid for these! You also need to consider an income protection policy in case you end up unable to work due to illness or injury. Good luck to you. With careful planning and saving both for dry spells and of course for tax, you’ll hopefully find this is a rewarding and flexible way to work.

[MichelleParticipant]

Thank you for the advice. We already have a financial advisor but I will also look in to an app as well. I need help setting up as self employed, I had a go on the gov.uk website but I’m not sure I did it properly (serving to reinforce my fears). We are fortunate enough already have 6 months salary in reserve. There were some parts of your advice i’d Not even thought about such as holidays and sick days, I will definitely look into an income protection policy. Thank you so much.

[Author]

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