Download the spreadsheets mentioned in this video (join as a member): smallbusinesstoolbox.uk/all-downloads/ Thank you for supporting this free channel and best of luck on your small business journey! 👍
I recently started a limited company and I really enjoyed watching your videos. I do hope to find some videos that specifically address limited companies. Another request, can you talk about accounting? I am struggling to understand the difference between integrated accounting services provided by Tide or other banking Apps and Xero for example.
Tide accounting is pretty limited. I haven't tried Starling yet but I suspect it will be quite limited too. Apps such as Xero are for more exhaustive in terms of their functionality. 👍
Phone packages where you spend the same amount each month regardless and you need it for work, claim 100%. You'd have to buy another phone to keep it apart. I sort of worry about use of home and claiming proportional expenses as then if you sell your house, capital gains could come into force. I think an amount that you consider reasonable is fine. If you're working 100% from home, don't forget the canteen for coffee, milk, sugar etc. Also only your portion for meals solely for business meetings, like with your accountant. 😄 You can pay the whole, but can only claim yours except any alcohol. If you're away from your home office all day, you can claim subsistence - check what HMRC pay themselves. The longer you are away, the more you can claim, regardless if you take a packed lunch etc.
Yup - all very valid points and great tips! In my experience it's all down to how the compliance officer is feeling at the time of audit. Generally they just want to get it over with as quickly as possible but as with all industries there are some jobsworths. 😁
I think the 'official' answer would be 50% each... since technically you're sharing the office space between both businesses. Having said that, the chances of you both being audited at the same time... 😉
Hi, is using a room as an office the same as working from home? I'm out working all day then come home and do some book keeping in my office or do I have to be in the office all day to claim? Thanks Mike
There's no requirement that I'm aware of to be in there all day. By the example from HMRC you can just apportion it to what you think is reasonable. As long as you can justify it if you're ever audited. I'll include a bit more info about this in the article smallbusinesstoolbox.uk/business-expenses/ - so keep an eye over there. 👍
Download the spreadsheets mentioned in this video (join as a member): smallbusinesstoolbox.uk/all-downloads/ Thank you for supporting this free channel and best of luck on your small business journey! 👍
I recently started a limited company and I really enjoyed watching your videos. I do hope to find some videos that specifically address limited companies.
Another request, can you talk about accounting? I am struggling to understand the difference between integrated accounting services provided by Tide or other banking Apps and Xero for example.
Tide accounting is pretty limited. I haven't tried Starling yet but I suspect it will be quite limited too. Apps such as Xero are for more exhaustive in terms of their functionality. 👍
Phone packages where you spend the same amount each month regardless and you need it for work, claim 100%. You'd have to buy another phone to keep it apart. I sort of worry about use of home and claiming proportional expenses as then if you sell your house, capital gains could come into force. I think an amount that you consider reasonable is fine. If you're working 100% from home, don't forget the canteen for coffee, milk, sugar etc. Also only your portion for meals solely for business meetings, like with your accountant. 😄 You can pay the whole, but can only claim yours except any alcohol. If you're away from your home office all day, you can claim subsistence - check what HMRC pay themselves. The longer you are away, the more you can claim, regardless if you take a packed lunch etc.
Yup - all very valid points and great tips! In my experience it's all down to how the compliance officer is feeling at the time of audit. Generally they just want to get it over with as quickly as possible but as with all industries there are some jobsworths. 😁
@@SmallBusinessToolbox Especially if they're training someone.
If two people are both working from home, can they both claim the expenses of using the home as an office?
For the same business or two separate businesses?
@@SmallBusinessToolbox Two separate businesses
I think the 'official' answer would be 50% each... since technically you're sharing the office space between both businesses. Having said that, the chances of you both being audited at the same time... 😉
@@SmallBusinessToolboxBrilliant, thanks for the reply 🙂
Hi, is using a room as an office the same as working from home? I'm out working all day then come home and do some book keeping in my office or do I have to be in the office all day to claim? Thanks Mike
There's no requirement that I'm aware of to be in there all day. By the example from HMRC you can just apportion it to what you think is reasonable. As long as you can justify it if you're ever audited. I'll include a bit more info about this in the article smallbusinesstoolbox.uk/business-expenses/ - so keep an eye over there. 👍