We are in a period of great uncertainty. We have all noticed how much more things are costing, how inflation is impacting us and together with the increased interest rates its never been more important than now to plan for outgoings and to try and create some certainty where you can.
Here we share five ideas that will help you do this.
1 Don’t leave doing your returns too late
Whether you are self-employed or in a partnership, and for those with a company which has a year end of 31 March, you are facing a tax bill in January 2023. Many of you will have already done the returns but if not, get them done sooner rather than later. By doing them now, you will be able to know with certainty the bill you are facing in January. If you have recently set up as self- employed you may also have an on account payment you were not expecting, so again the sooner you do this the better.
2 Ensure you plan for your tax payment
Your tax payment is as important as any other bill, so ensure you plan for it and have it in your cash flow. We often advise clients to put some money aside monthly from either dividend or via their self-employed drawings so that when the tax return is done there are no surprises. You have it there saved and ready.
3 Make sure you claim for all expenses you are able to
Whether this is use of home, telephone or travel and subsistence, ensure you are claiming all expenses that you can. It’s really important that you don’t miss out on tax deductions. Talk to your accountant and if you don’t have an advisor please do give us a call. We are always happy to have a friendly chat and see if we can help.
4 Take advice
Take advice to ensure that your finances are structured to the optimum that they can be. Whether this is looking to restructure your business, going self-employed to limited, or planning for retirement, its important to spend the time with your advisors well in advance to make the best decisions.
5 Take advantage of technology
The systems around now do so much to help you plan. Book-keeping can be made quite easy and at a click of a button you can see your income, outgoings and even your cumulative tax. What better way to plan than to be able to just log on and see it there clearly!
Please do get in contact with us if you wish to discuss any of the above. E mail us at enquiries@ebsaccountants.co.uk or call us on 01636529660.
