Self-Employed
Self-Employed & Small Business Finance
Money guides for people who work for themselves: sole traders, freelancers, contractors and company directors. Plain-English tax, banking and protection, with every figure checked against gov.uk. No safety net to fall back on means the admin is yours to get right, so we keep it clear.
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Setup & Structure
Going self-employed, registering, and choosing between sole trader and limited company.
Related reads
How to Become Self-Employed UK
The step-by-step route from idea to trading, and when the GBP 1,000 allowance means you can skip registering.
Read the guide GuideHow to Register as a Sole Trader
The HMRC Self Assessment route, the 5 October deadline, and what it actually involves.
Read the guide GuideHow to Set Up a Limited Company
Register direct with Companies House for GBP 100, what you need first, and the new identity-verification rule.
Read the guide GuideDo I Need to Register for VAT?
The GBP 90k threshold is a registration trigger, not a tax-free band. The two tests that catch people out.
Read the guide ToolSole Trader vs Ltd Calculator
Run your own profit through both structures and see the take-home difference.
Open the calculator ToolEmployed vs Self-Employed Calculator
The same money as a salary vs as profit, side by side, with the NI difference.
Open the calculatorBusiness Tax
What you actually owe, how Self Assessment works, and the deadlines that catch people out.
Related reads
Self-Employed Tax UK: What You Owe
Your real marginal rate is 26%, not 20%. A worked example takes a profit line by line to the bill.
Read the guide ToolSelf-Employed Tax Calculator
Profit in, real tax bill out: Income Tax + Class 4 NI, the monthly set-aside, and the January payment-on-account shock.
Open the calculator ToolVAT Calculator
Add or remove VAT, and test whether the Flat Rate Scheme is worth it or a limited-cost-trader trap.
Open the calculator GuideSalary vs Dividends
The director's optimal split for 2026/27, on the rates raised in the latest Budget.
Read the guide ToolSalary vs Dividends Calculator
Find the tax-efficient director salary and dividend split for your company profit.
Open the calculator GuideVAT Flat Rate Scheme
Is it worth it? The limited-cost-trader rule that makes it a trap for many freelancers.
Read the guide GuideAllowable Expenses
What you can claim and what it actually saves: about GBP 26 per GBP 100 at the basic rate.
Read the guide GuidePayments on Account
The Self Assessment surprise that can make your first January bill 150% of the tax expected.
Read the guide GuideMaking Tax Digital
Does it apply to you, and what will it cost? The thresholds phasing in from April 2026.
Read the guide GuideCorporation Tax
The small-company guide, including the GBP 50k-250k band taxed at an effective 26.5%.
Read the guide ToolCorporation Tax Calculator
Your company tax bill including Marginal Relief in the GBP 50k-250k band.
Open the calculator ToolDividend Tax Calculator
Work out the tax on a salary-plus-dividends split for the current tax year.
Open the calculator ToolTake-Home Pay Calculator
Sense-check self-employed profit against what an employed salary leaves you.
Open the calculatorBanking, Cash & Getting Paid
Keeping business money separate, managing lumpy income, and getting invoices paid.
Related reads
Best Business Bank Account
Free challengers vs high-street fees, FSCS vs e-money protection, and the one with free accounting.
See the comparison CompareBest Accounting Software
FreeAgent, Xero, QuickBooks and Sage compared, plus the one that is free with the right bank.
See the comparison GuideHow Much Tax to Set Aside
What to put by, by income band, plus the first-year payments-on-account trap that makes the bill 1.5x.
Read the guide GuideLate Payment Interest
Your statutory right to charge 8% above base rate plus a fixed sum when a client pays late.
Read the guideProtecting Yourself
The self-employed have no sick pay, no employer pension and no redundancy. Here is how to replace the safety net.
Related reads
Self-Employed Pension
No auto-enrolment, so what now? The SIPP route and the higher-rate relief you must claim.
Read the guide GuideIncome Protection
With no sick pay to fall back on, the deferred period is really a savings question.
Read the guide GuideSelf-Employed Sick Pay
There is none, but Class 2 National Insurance quietly unlocks the ESA fallback.
Read the guide GuideMaternity Allowance
Self-employed mums get MA, not SMP, and an NI gap can cut it to GBP 27 a week.
Read the guide ToolMaternity Pay Calculator
Estimate Maternity Allowance if you are self-employed and expecting.
Open the calculatorGrowing & Hiring
Taking on staff turns you into an employer with real duties. How to do it properly.
Hiring Your First Employee
The employer checklist: register with HMRC, right to work, insurance, contract and pension.
Read the guide GuidePayroll for Small Business
Reporting to HMRC on or before payday, the payslip you legally owe, and the free software option.
Read the guide GuideAuto-Enrolment for Employers
Your workplace-pension duties for staff aged 22 to State Pension age earning over GBP 10,000.
Read the guide