Going self employed?

UK PROFESSIONAL DRIVERS FORUMS THE UK PROFESSIONAL DRIVERS FORUM (INTERACTIVE)
21

It’s not as daft as it sounds. You might get 3 bookings for the same hours at £14ph, but only a single booking with £18.

Thing is, if you are a one man band, then you’re not going to be doing the two out of three bookings physically impossible for you to do ANYWAY, so why worry?

You want merely enough work to keep you busy 40+ hours a week, rather than all the work that you’ll then end up subbing out, and feeling like a pillock because they are charging YOU more than you’re charging on your invoice for it. :smiling_imp:

22

I am a self employed freelance driver and I charge £10 p h with a 10 hour minimum.
I have roughly 4 days a week and most days are 12- 15 hour days. I pick one day off a week unless I’m covering someone’s holiday and it’s a whole week. I pay a n I stamp per quarter through an accountant and I invoice weekly and get paid a week in hand.

As stated I don’t get any holiday cover, sickness or other benefits and I won’t be in a pension in futures but I have the ability to say no and that’s a lovely feeling when you have genuinely had enough and want a day off. :smiley:

I only have class 2 so I gues a class 1 wold start at £12 ph really , have full ADR as well but rarely use it.

Tax will be payable at the end of the year so you have to save some for that but if they will go for it , I’d do it, the accountancy work is minimal with sole trader status so it probably a few hundred a year. You have to invoice weekly and save a copy for your books and every receipt, workwear , cleaning , travel etc .
A true Downside is that they can and do sometimes not need me, truck off road at lat minute or not back for loading etc and I won’t earn , but if I turn up and am at the yard , I’m paid regardless , hope this helps ,
Might be a new blog his one :slight_smile:

23

Denis F:

Winseer:
Unless you’ve got a brother who is an accountant, and a wife to do everything like take bookings, etc. then I would be invoicing for £18ph minimum, or not bother at all. There’s a lot of work out of the driver’s seat involved with running yourself as an “indenpendant driver”, and that’s before you consider the owner driver option, which of course is the more common one for Self-Employment as a driver.

Yes Winseer loads of work about 30 seconds a week doing my invoice and 1 hr pm doing the rest of my paper work 30mins per quater doing vat :smiley: its such hard work i dont know how i cope :open_mouth: :open_mouth: :open_mouth: :open_mouth: :unamused:

24

How do you get the work set up from cold-calling stage onwards? If you’re out doing a job, are you constantly on the Iphone, and thus breaking the law?
Are you constantly answering calls from the office staffed by ■■? and thus breaking the law, unless pulled up every time?

As I’ve said in previous posts. In practice, walking upto a prospective customer and saying words to the effect of "You can have me, fully insured, 20 years experience, spotless accident record & licence for £18ph self-employed, or just pay the agency £20ph to put any old ■■■■ in instead - then 9 times out of ten, I’d be shown the plastic curtains short shrift…

Now, sure this could mean the guy is quite happy to lose money over the business decision of “not liking me personally”, but if it’s NOT for that reason, then what?
It’s not their money being wasted? They don’t like anyone except “established known faces”?

Remember, I’m the guy who struggles to sell tenners for a fiver 'cos his face don’t fit in many places. I’m only giving over some reasons why SE won’t work for me personally in the current environment. 30 minutes of paperwork is not what worries me - it’s the constant cold call stuff with people that don’t know me from adam that I don’t get on with. If I had Charisma, I’d be a boss myself - or even a union leader after all! :smiling_imp:

I’m not very good at customer sales, and invoicing for silly low amounts would mean I can’t afford to pay someone else to do that bit of the job for me.
I’m also a ■■■■-poor liar, so can be considered to have a lousy telephone manner as well! :blush:

25

I already have 3 people I work for, I say people because they are small, family run business’s NOT faceless mega conglomerate companies where you are only a number on a long list of subjects.

They know if they want me they need to book me first. I’m never looking for work, it’s always looking for me. I had a friend of one of the guys I work for ring me out of the blue asking if I was available, I had to say no, but thanks for thinking of me.

I’ll try and get onto an HMRC seminar next time they run one local to me.

26

mucker85:
Thanks for the reply. I won’t (shouldn’t) have any trouble getting work. Being a casual coach driver with class 1 as well means I’m getting a couple of phone calls each week from firms offering me some work.

I have private health insurance so sick pay won’t be a problem, it pays out 80% of my average weekly earnings which is more than enough to live on.

Make sure it covers you if you’re self employed. Most policies don’t or if they do they’re a lot more expensive.

27

stevieboy308:
i think it goes along the lines of paying yourself your tax free threshold then pay the rest in dividends which looks like are taxed at 10% upto 34,370

Except for the small fact that dividends are paid out of POST TAX profits on the business so if you pay yourself £10,000 in dividends, the company will have already paid corporation tax on that and then you pay tax on it as well.

28

Winseer:
How do you get the work set up from cold-calling stage onwards? If you’re out doing a job, are you constantly on the Iphone, and thus breaking the law?
Are you constantly answering calls from the office staffed by ■■? and thus breaking the law, unless pulled up every time?

As I’ve said in previous posts. In practice, walking upto a prospective customer and saying words to the effect of "You can have me, fully insured, 20 years experience, spotless accident record & licence for £18ph self-employed, or just pay the agency £20ph to put any old ■■■■ in instead - then 9 times out of ten, I’d be shown the plastic curtains short shrift…

Now, sure this could mean the guy is quite happy to lose money over the business decision of “not liking me personally”, but if it’s NOT for that reason, then what?
It’s not their money being wasted? They don’t like anyone except “established known faces”?

Remember, I’m the guy who struggles to sell tenners for a fiver 'cos his face don’t fit in many places. I’m only giving over some reasons why SE won’t work for me personally in the current environment. 30 minutes of paperwork is not what worries me - it’s the constant cold call stuff with people that don’t know me from adam that I don’t get on with. If I had Charisma, I’d be a boss myself - or even a union leader after all! :smiling_imp:

I’m not very good at customer sales, and invoicing for silly low amounts would mean I can’t afford to pay someone else to do that bit of the job for me.
I’m also a ■■■■-poor liar, so can be considered to have a lousy telephone manner as well! :blush:

Are you for real my work is booked via email in advance or via voice mail usually it’s booked the week before
Have you never heard of hands free or voice dialing.

What insurance are you on about you mean the accident insurance that agencies have you can’t get those policies I know I checked in to them

29

Conor:

stevieboy308:
i think it goes along the lines of paying yourself your tax free threshold then pay the rest in dividends which looks like are taxed at 10% upto 34,370

Except for the small fact that dividends are paid out of POST TAX profits on the business so if you pay yourself £10,000 in dividends, the company will have already paid corporation tax on that and then you pay tax on it as well.

have a read again fella :wink:

stevieboy308:

Derf:

alix776:
Ltd co
You’ll pay one tax bill per year but accounts charges will be higher the only one you’ll pay is corperation tax you shouldn’t have any other tax bills to pay

Sent

But you’ll have to pay yourself a wage which will be taxable as you will be an employee of the Ltd company you set up. Also you’d have to pay Employers NI out of the company funds on the wage you draw.

i think it goes along the lines of paying yourself your tax free threshold then pay the rest in dividends which looks like are taxed at 10% upto 34,370

30

Denis F:

Winseer:
Unless you’ve got a brother who is an accountant, and a wife to do everything like take bookings, etc. then I would be invoicing for £18ph minimum, or not bother at all. There’s a lot of work out of the driver’s seat involved with running yourself as an “indenpendant driver”, and that’s before you consider the owner driver option, which of course is the more common one for Self-Employment as a driver.

At £18/hour you’ll have plenty of time to do your accounts and take bookings :wink:

Exactly my thoughts too Den. :smiley: :laughing:

31

Wish I could get £18 per hour

32

alix776:
Wish I could get £18 per hour

+1

33

Been messaged by a website setup for self employed drivers called Agencydriver.co.uk
Its looks really good and has some good tips and downloads for all self employed drivers.
He saw my blog but I don’t know I’d he is a member here , I am going to recommend this forum to him if he isn’t.
Hope it’s ok to mention his site , :smiley:

34

mucker85:
I am thinking about going self employed so I can reclaim some of the cost involved with work against tax.

Is there a way I can work out how much I can charge and still be getting work from all 3 of my current employers?

I know they have employers contributions on top of what they pay me but how much is it?

If I am paid £8 PAYE now how much would be a reasonable rate for SE?

I heard a rumour you can’t charge hourly and can only go on day rate?

Would I be able to get around this by having a rate for 10,11,12 hour days etc?

Your whole post is ridiculious.

Is there a way I can work out how much I can charge and still be getting work from all 3 of my current employers?

Why should strangers know how much you can charge. How could strangers know how much you charge now and how much your customers would stand…

You charge an amount to get the work and if that is too low for you then you walk away. BUT you set your own terms on payment and walk away if it does not suit you.

There is no such thing as self employed when working for just wages.

If you have 3 current employers then you are on PAYE from all. If you are not on PAYE from all then you do not have 3 EMPLOYERS.

I know they have employers contributions on top of what they pay me but how much is it?

It depends on your wages, if you do not know it seems that you really do not understand and therfore you will come a cropper later. Stay away from Ltd Co.

If I am paid £8 PAYE now how much would be a reasonable rate for SE?

As much as you can get but at least £11.50 just to break even. That figure was just a drunken guess and I may be wrong by some pence.

I heard a rumour you can’t charge hourly and can only go on day rate?

Rubbish. Charges are upto you and any agreements you make with your customers hauliers.

Would I be able to get around this by having a rate for 10,11,12 hour days etc?

No. There may be minute differences but none that would affect you.

Stick to PAYE and have an easy life and save money.

Limited company is a waste of time if you do not need to go that route.

35

stevieboy308:

Derf:

alix776:
Ltd co
You’ll pay one tax bill per year but accounts charges will be higher the only one you’ll pay is corperation tax you shouldn’t have any other tax bills to pay

Sent

But you’ll have to pay yourself a wage which will be taxable as you will be an employee of the Ltd company you set up. Also you’d have to pay Employers NI out of the company funds on the wage you draw.

i think it goes along the lines of paying yourself your tax free threshold then pay the rest in dividends which looks like are taxed at 10% upto 34,370

I really think you need to have some correct knowlede before you advise people. You will not pay 10% tax. You will pay a minimum of 20% tax.

Say you get a £900 dividend then you need to account for the 10% tax on that so your dividend from the company is £1000 less 10% tax giving you a payment of £900 with a tax voucher of £100.

When your company tax return is due you have a tax on the £1000 at 20% but your issued voucher has accounted for 10% of that so your company has to pay an additional £100. As no tax has been paid up to now the company now owes £200 in tax. £200 is the rate you pay on each £1000.

Also if you paid yourself to the tax free threshold of up to £192 per week (approx) then that is tax free but your NICs kick in at about £153 per week.

Get proper advice and do not listen to the folk on this site (2% drivers 98% twinkers) that say Ltd Co is best. It is different for each person according to thies particular circumstances.

36

Holy thread revival. Are you always this ■■■■■■ or did we catch you on a bad day?