While this can mean greater financial security and freedom, it can also bring additional administrative headaches when it comes to taxes.

According to Lauren Harvey, Accounts Manager at The Accountancy Partnership, an expert in accounting and tax for freelancers, she sees many make life harder for themselves when it comes to tax.

“Freelancers in all sectors, whether this be the creative industries or sports, are wearing many hats; one day hosting a workshop, the next day travelling to a client meeting and then the next settling down to take care of the admin.

However, HMRC doesn’t care how many income streams you have; all they care about is that you declare them properly and on time.”

Lauren discusses five of the most common mistakes she sees from freelancers juggling different income streams.

1. Not tracking every penny

When you’re juggling multiple income streams, the most important habit to get into is to record every single payment you receive, no matter how small it is.

HMRC requires you to declare all taxable income, even if it’s just a couple of pounds. It’s often the ‘little bits on the side’ that freelancers forget about, but these are the ones likely to cause the most problems if they’re missed off a tax return.

Make sure you can identify which business or income stream a transaction belongs to for your own reporting and understanding, but it’s crucial to make sure you include everything when you’re supposed to!

2. Understand what HMRC expects

If the total amount you earn from self-employment or other miscellaneous activities is more than £1,000 in a tax year, you’ll need to tell HMRC about it using a tax return, even if you’re also in full-time employment and taxed through PAYE on earnings from your employer.

HMRC doesn’t separate your additional freelance income from your main job, so you’ll need to include everything on your tax return although you won’t pay tax on the same money twice!

3. Claim allowable expenses properly

When you have more than one income stream, it’s easy to blur the lines on what expenses you can and can’t claim back against tax. However, each stream may have its own distinct set of allowable expenses. If you don’t record these clearly for HMRC, then you could miss out on some vital savings or even raise red flags (businesses without any expenses at all may be unusual!).

The golden rule is to keep every receipt and invoice, however small. Many freelancers find it helpful to use digital bookkeeping apps where receipts can be photographed and uploaded straight away. This avoids the classic ‘shoebox of crumpled receipts’ in January and makes it far easier to evidence claims if HMRC ever checks.

It’s also absolutely crucial to make sure that you don’t claim the same expenses twice if they relate to multiple income streams.

4. Budget for taxes throughout the year

Many people forget that tax is a thing until the Self Assessment tax deadline comes, and they think they have more income than they do. Multiple income streams can make it harder to estimate how much you’ll owe by January, so a simple solution is to set aside 20-30% of your income as you earn it into a separate pot. This way, you’re not caught short at payment deadlines, and anything that’s left over is a little bonus!

5. Consider professional support

HMRC don’t always make things easy, and when your income comes from more than one source, the calculations can get quite complex. Having your own accountant can ensure you’re compliant, as well as reducing the stress that comes with having to do your own accounts.

They’re also great at helping you find additional tax reliefs you might be able to claim, so they might well help you save more than the amount it costs to hire one!

 
Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post FIVE Tips for Freelancers Juggling Multiple Incomes, by a Tax Expert appeared first on Freelancer News.

Our smartphones (and other devices) are now our calendars, online banks, health trackers, nutrition guides, maps, the key to instant communication with contacts all around the world, and so much more.

Professionally, apps can drive productivity, boost organisation, automate some of your most arduous tasks and help you set up and maintain robust processes and systems.

That’s why, as a freelancer, staying up to date with the latest apps is such an effective way to stay on your A-game and make your life a whole lot easier, faster, smarter and sometimes, even cheaper.

The apps every freelancer needs in 2025 (and beyond)

The world of apps is fast-paced and quick-changing with a seemingly endless list of options. So, figure out where you would most benefit from some app-based support and focus your efforts there.

We share 10 of the best apps for freelancers in 2025, broken down into five key categories:

• Finding freelance work
• Project management
• Design and creation tools
• Social media
• Bookkeeping and accounting

So, let’s get stuck in!

Finding freelance work

Finding freelance work is no mean feat, especially when you’re also trying to focus on the active briefs and clients you already have. Apps can make sourcing and securing work far less daunting and time-consuming.

Two of the most popular apps to help find freelance work are Upwork and Fiverr.

Upwork

One of the most professional and reputable platforms for finding freelance work, the Upwork app is a must. You can search for jobs, send files and communicate with clients on the go, whenever, wherever.

Fiverr

Promote your services, set your prices, and compete against other freelancers. Build up positive reviews and remember to price yourself competitively but not too cheaply. Great for quick turnaround tasks – but watch out for spammy listings.

Project management apps for freelancers

As a freelancer, you’re almost always juggling a number of different projects, clients and deadlines at a time. Centralising it all into one place using a project management tool is a brilliant way to keep on top of everything, plan your capacity, manage expectations and avoid burnout.

Two go-to project management apps (for good reason) are Trello and Monday.com. As a freelancer or ‘solopreneur’, you might prefer the simplicity of Trello. If you’re interested in built-in budgeting, invoicing and marketing tools too, monday.com should tick all your boxes.

Other great options include Asana and ClickUp (which can even be added to Chrome, Alexa and Google Home).

Trello

Organise all your tasks visually into different boards and use the customisable Kanban workflow to easily manage multiple projects and deadlines.

If you’re working in a team, invite others to your Trello boards and assign tasks with the click of a button. View tasks and projects by calendar or category, depending on how you’re working.

Monday.com

This comprehensive project management platform and productivity app makes managing tasks and organising collaboration at scale a total breeze. Integrate your widgets and other favourite tools to streamline your entire workflow.

Design and creation tools

If you require creative design tools, but you don’t need the full-on power of Adobe, then Canva and Figma might be a useful starting point.

Canva

This app gives you access to millions of high-quality photos, icons, illustrations and templates so you can create things like social media images, business cards, decks, portfolios and advertising assets from your mobile.

Canva is a beginner-friendly alternative to more specialist (and costly) tools like Adobe Illustrator.

Figma

This is a fantastic collaborative tool that enables designers to co-work with clients and peers (such as copywriters and developers) to create, collect feedback and test designs in one platform. It’s a super-efficient way to share work, gather feedback and implement changes.

When it comes to copy and content, check out Grammarly to save valuable time and keep your spelling and grammar in check.

Social media

Social media can be an invaluable tool for getting your name out there, building your audience and sharing your content far and wide.

However, to get the most out of your social media channels, they require investment of time and effort, which can be significantly optimised with a scheduling and management app. Two of the most popular right now are Hootsuite and Loomly.

Hootsuite

Download the Hootsuite app to draft, schedule, and publish social media content across all of your platforms from one dashboard. You can also engage with your audience and access performance analytics directly from the app, without having to log in to separate social media accounts.

Loomly

This other popular social media management platform has recently launched a brand-new mobile app. Once all your social media accounts are connected, you can then create, optimise, schedule and analyse performance of your social media content all in one place.

The main difference between Hootsuite and Loomly is that Hootsuite has great social listening capabilities. This means you can monitor when people are talking about your chosen keywords online and what they’re saying. Loomly doesn’t yet offer this functionality.

Bookkeeping, accounting and invoicing

Keeping your accounts up to date and staying on top of invoices is critical for success as a freelancer. Doing so will help you run as tax-efficiently as possible and reduce instances of late payments to protect your cash flow.

That said, recording things like transactions and invoices and uploading expenses can feel daunting and downright painful at times. Choosing good bookkeeping software that suits your needs will make the whole thing feel easier and more efficient.

Quickbooks

The Quickbooks accounting app is one of the most popular of its kind, especially as it has a plan exclusively for self-employed freelancers. Having an app like this on your mobile, while you’re out and about, makes it quicker and easier to track miles and record transactions as and when they happen.

Pandle

This is a free accounting app that is also a bookkeeping software and invoicing platform. Manage customer and supplier invoicing, upload receipts, view reports and complete banking straight from your mobile.

The best thing about Pandle is that all the cloud-based tools are all designed “with real people in mind”, making it perfect for small business owners and freelancers just like you.

Both accounting apps have a long list of features designed to support the financial growth and stability of your freelance business.

Done here? Find more expert advice and resources in our freelancer information hub.

The post Best Apps for Freelancers 2026 appeared first on Freelancer News.

Fear not, though, as business management platform Tide has published its latest Global Freelancer Report, revealing the freelance roles that are most in demand in the UK and around the world.

We’ll look at some of the top ones to give you an idea of which areas to focus on going into 2026, and we’ll also touch on the issue of freelancing abroad, which can have major implications for how you pay tax.

Let’s jump in.

Most in-demand freelance roles in the UK

According to the report, the top freelance role in the UK is that of SEO (search engine optimisation) specialist, which is all about leveraging digital analytics to boost a company’s online presence. It also helps to have a bit of marketing know-how.

Other roles on the list include graphic/web designer, copywriter, and accountant, with there being a clear emphasis on web-based skills.

Most in-demand freelance roles globally

While there is some overlap between the two lists, SEO specialist doesn’t take the top spot globally.

Rather, the report indicates that self-employed filmmakers are actually the most sought-after freelancers around the globe, and this is really no surprise when you consider just how ubiquitous video content is in today’s digital world.

Also on the global list are SEO specialist, graphic designer, copywriter, and photographer.

Can I freelance abroad?

This is a good question, and one you’ve no doubt asked yourself if you’re a freelance professional. After all, one of the big attractions of freelancing is the freedom to decide your own schedule, as well as where and when you work.

George Schmidt, UK/Europe CEO at Tide, describes freelancing as the “natural next step for many people that have worked in an industry for an extended period of time,” noting “the flexibility to fit it in around your life”.

When it comes to freelancing abroad, however, the reality isn’t quite as simple as you might think, or hope! For example, if you’re considered a UK tax resident, you most likely need to pay tax on all your income – even if some of it comes from a foreign client.

Living and working in a different country

What if you’re also based overseas, living and working in a different country? Well, this is where things get really complicated, as things like tax residency and double taxation agreements come into play.

These sort of arrangements basically ensure you don’t pay tax on the same income twice, but you’ll normally need to check for any agreements in place between the countries in question.

The good thing is you don’t have to go it alone. A qualified accountant can walk you through the whole process and make sure you’re operating in the most tax-efficient way possible.

Recording international income

Good record keeping will help you stay on track of what income was earned where. It can make a huge difference to your tax bill. The best way to keep good records is by using online bookkeeping software.

What freelance roles are on the up?

Currently, the fastest growing freelance profession is web analytics specialist, followed closely by content marketer.

As is evident from Tide’s findings, the fact that AI is being relied upon more and more doesn’t mean there aren’t still jobs available for freelancers in certain areas.

It’s simply about knowing where to look (and what to focus on). While there are many good arguments for specialising as a freelancer, meaning you home in on one specific niche, it also pays to stay more generalised, as this gives you access to a greater number of opportunities.

A more general freelancer is able to stay nimble and adapt to their changing environment, and right now there appears to be a growing demand in the digital space, with web analytics, SEO and the like all becoming increasingly important to different kinds of companies. It all depends on your needs and skills!

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post What Freelance Roles Are in Highest Demand? appeared first on Freelancer News.

Before you know it, you’re folding and ironing, and your work is no closer to getting finished.

Relatable?

Procrastination is something everyone deals with, as we convince ourselves we still have plenty of time left – until we don’t.

Thankfully, there are ways to avoid the mad scramble before a deadline, but it starts with you holding yourself accountable and being willing to make a change.

Here are five things you can try.

Set your own deadlines

You might not always get a say when a piece of work is due, but you can still try and negotiate if what’s being asked is unreasonable or unrealistic.

Work backwards from when the client needs the work and determine whether or not it’s actually doable based on your own habits.

If you reach the conclusion that it can’t be done, then say so – or at least ask for a higher pay rate to make up for any potential overtime.

You obviously want to try and be as accommodating as possible, but it still has to be worth your while at the end of the day.

If you’re pitching for work, be sure to pitch deadlines as well. This allows you to space them out according to your schedule (and ultimately work on your terms).

Don’t forget to give yourself a bit of a buffer for potential delays!

Manage your time

Perhaps the most obvious way to improve your overall productivity is by breaking large projects up into more manageable (or “bitesize”) chunks, which you can then tackle one at a time.

Another strategy is to plan your schedule on a weekly basis, as this leaves room for the odd off day where you don’t get a whole lot done for whatever reason. Days like this are perfectly normal every now and then; you just need to account for them.

Establish a method

First of all, you’ll want to decide how many hours you’d like to work in a given day.

It’s worth noting that some people are more productive at certain times, so pay attention to your own habits.

Not having set work hours means you could be working at all hours without realising it!

For example, you might find yourself trying to finish something late at night because you didn’t get it boxed off during the day.

If this works for you, then great, but it’s all about planning work around what’s sustainable long-term.

You might consider implementing something like the Pomodoro method, which involves 25 minutes of focus with a 5-minute break. Whatever method you ultimately choose, hold yourself accountable to it.

Communicate with your client

Communication is key. If you think you might need to move the deadline, just ask politely.

That’s not to say you should move a deadline for the sake of it, but your client is human too. They’ll most likely understand if you have a legitimate reason. Just try to avoid leaving them in the lurch!

More generally, you can also ask for further clarification if you’re unsure about what they’re asking of you.

Block out the noise

We all know there’s no better way to waste a couple of hours than by going down a YouTube rabbit hole, so don’t tempt yourself and close all non-work-related tabs.

For some people this will also mean you go dark during your most productive hours of the day, although some freelancers will need to balance this with the need for good client communications.

This might mean turning off your phone and silencing your emails.

If you’re not totally comfortable with this, you could consider using a filter for urgent communications such as from family members, or create dedicated work comms channels which you can silence as needed.

It’s not just about setting boundaries between work and life; it’s about giving your full focus to the task at hand and not getting distracted.

This is likely to result in higher quality work, thus increasing the likelihood of you receiving more work in the future.

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post A Freelancer’s Guide to Handing Projects in on Time appeared first on Freelancer News.

Wouldn’t it be nice to have a little help every once in a while? That’s where freelance job sites come in. But how do they work exactly?

And, perhaps most importantly, do they take a cut of your earnings? Let’s take a closer look.

What is a freelance job site?

Quite simply, it’s a platform that helps you find freelance projects and jobs, and connect with clients.

There are a couple of different types, and which you go with is really a matter of personal preference. Like all decisions, it’s usually best to consider your specific needs against what’s available.

For example, there are freelance bidding platforms where clients list jobs and freelancers submit their quotes for the work. There are also sites like Lemon.io which completely flip the script by listing freelancers and encouraging potential clients to enlist their services.

How can freelance job sites help me find work?

There are some freelance job sites that target specific industries, while others take a more general approach and cast the net wide.

Either way, the good ones streamline the usually painstaking process of sourcing and securing work by getting freelancers in front of people looking to outsource work. The client will normally need to provide some sort of brief for the work they have in mind. Lots of freelancing platforms will have mandatory fields for things like whether this is an ad-hoc project or an ongoing contract, for example.

Once you find the right one for your needs, a freelance job site can be an invaluable resource, enabling you to expand your network and build your reputation in whatever industry you’re a part of. Especially if you’re just starting out!

Freelance job site fees

Let’s examine a few real-world examples of common freelancing platforms and typical fees they charge.

Upwork

• Freelancer Service Fee ranges from 0% to 15% per contract
• Set based on factors that help support a balanced and competitive environment across different types of work
• A fixed fee, meaning it won’t change once your contract begins

Fiverr

• No subscription required
• Charges a 20% service fee on everything you earn through their online marketplace
• Automatically assessed at the time a client’s payment is paid out to you

Guru

• Signing up for an account is free for both freelancers and clients
• Charges a service fee based on a freelancer’s earnings from each project completed, typically between 5% to 9%
• Freelancers can choose from different membership plans, offering various benefits like reduced fees per project, or increased visibility on the platform

Are freelance job site fees tax deductible?

If you’re subscribed to any of these sites and pay a membership fee or have fees deducted from your earnings, you can usually deduct this as an allowable expense.

An allowable expense is something which relates wholly and exclusively to your business, and a platform fee for finding work would absolutely fall into this category.

Am I still self-employed if I use freelance job sites?

Yes! Using a platform to find work doesn’t change your employment status unless you start working as someone’s employee. This means you need to register for Self Assessment if you haven’t already, and submit tax returns so you pay the right amount of Income Tax and National Insurance.

If you’re not totally clear on how to go about this (or just feel unsure about it), a qualified accountant can break everything down and walk you through the process.

What if a client doesn’t pay?

The response to this can vary from platform to platform, but most freelance job sites have at least some kind of protocol in place for when a client stops paying (or even replying).

With Upwork, for example, logged hours that meet the requirements for Hourly Payment Protection will still be invoiced and paid to you by the platform through the usual weekly cycle – even if your client doesn’t respond or fails to pay.

Fixed-price projects are a little different, with you needing to complete your current ‘milestone’ before ending the contract. If you don’t, you risk losing access to any project funds that might be set aside.

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post Do Freelance Job Sites Charge a Fee? appeared first on Freelancer News.

That’s a nice (and perfectly sensible) idea in theory, but what if it means branching out into areas so varied you end up running multiple freelance businesses, rather than extending your existing service? In which case, how on earth are you supposed to promote all of them at the same time?

It’s a question we regularly encounter, so in this article we share our favourite tips for promoting multiple freelance businesses at once.

Can I have more than one business?

Absolutely. Whether you operate multiple limited companies or as a sole trader, there aren’t any restrictions on the number of businesses you can set up or be involved in.

Just bear in mind that being a sole trader means you operate as an individual, so there’s no legal distinction between you and your sole trader business(es). You’ll still submit one single Self Assessment tax return, but you’ll need to include separate sections for your various businesses.

If you need to use MTD Income Tax then you’ll still only submit one single tax return, but each business will need its own quarterly update. For instance, if you have two sole trader businesses, you’ll submit eight quarterly updates!

How do I separate my businesses for marketing?

When it comes to actually promoting your different businesses, you’ll want to have an overall plan of some kind. Things can get very confusing for both you and your clients otherwise.

Branding

Your branding is the way you create an obvious consistent identity for your business. If you run multiple businesses then you could try to make each as different and unique as possible. Or, in other words, find a way to distinguish them from one another.

Conversely, you can focus on developing a cohesive brand identity that encompasses everything, with this making it a lot easier to promote yourself and your services. In a sense, you’ll just be promoting one business which offers different services.

This might not be useful if they’re in wildly different industries, but if they’re related then it might even allow you to use the brand loyalty from an existing business to attract customers to a new one.

Finding a way to organically link different businesses is no mean feat, which is why it’s imperative that you focus on what you’re passionate about. This way, you become the brand.

Platform strategy

If you do decide to keep your businesses as separate entities, one strategy is to make use of different social media platforms or networks.

For example, you could keep LinkedIn reserved for your primary business and promote your other endeavours on Instagram or TikTok.

Alternatively, it is possible to create two or more company pages on LinkedIn if that’s your preferred networking site (you just can’t create more than one personal profile). The only real downside is that company pages aren’t the best in terms of engagement, likely because they tend to lack personality.

The important thing is to target the right customer base for your business, and if that means having a presence on TikTok, then so be it. You don’t have to dance.

Content strategy

Let’s have a think about the actual content you’ll post – and where.

Now, if you like the idea of being the brand yourself, you could simply post different types of content on your own personal profile, whether that’s on LinkedIn, Instagram, or some other site.

An argument can be made, however, that this isn’t the most effective strategy, as people tend to follow others for very specific reasons (unless there’s an existing relationship, of course).

You may find that you start to lose followers if your content isn’t consistent. It’s why picking a lane and committing to it could actually be the best strategy in the long run.

A more subtle approach would be to prioritise content related to your main business, and then drop the odd hint about the other services you offer.

This strategy allows you to plug your side hustle(s) without compromising your own unique brand, meaning you shouldn’t lose followers as a result.

You could also look out for online groups or forums to join. These can offer a less public way to network with potential clients if you’re particularly concerned about muddying the waters.

Set clear guidelines for yourself

As we mentioned earlier, running multiple businesses can get rather confusing, but there are things you can do to make it at least a little easier for yourself.

For example, make it a rule that each of your businesses will be distinct in terms of pricing. While seemingly simple, this could be the difference between staying on track and not.

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post How Can I Advertise Multiple Businesses as a Freelancer? appeared first on Freelancer News.

In that instance, it would actually be better to be something of an expert in said area – as opposed to a jack of all trades who knows a little about everything.

But is it always better to be a specialist? And how do you choose what to specialise in?

What is a freelance niche?

It’s basically just an area of expertise that you specialise in, and that people therefore come to associate you with.

You can also think of yourself as a kind of brand, meaning people will come to associate you with a particular kind of product or service that no one else really offers.

The niche you ultimately choose is of course the thing that will determine how you’re thought of, with it essentially becoming your whole identity as a freelancer.

This isn’t something to fear, but to be embraced. After all, if you don’t believe in your niche, why should anyone else?

Why choose a niche?

First and foremost, you need a way to stand out from the crowd in an increasingly competitive marketplace.

One of the best ways to do this is by picking a lane, as it were, and fully leaning into it so that you become people’s “go-to” for that particular thing.

It’s not about limiting yourself but taking on a unique identity.

Why does this work, though?

Because hiring an “expert” to do a specific job is much more low-risk than hiring a more general freelancer who may only have a working knowledge of the field you’re in.

Furthermore, leaning into a niche enables you to start building your brand, as you now have something to base it on. This is also key when it comes to marketing yourself (which we’ll get to later).

Those who’ve enlisted your services may even refer you to others, and it’s generally accepted that workers who pick a specialty are able to charge more, as the work they do is more bespoke.

You’ll also save yourself a lot of time being a specialist freelancer, as you won’t need to go looking for work. Rather, it will find you – especially if you’re able to build a reputation as a trusted and reliable expert.

Gone will be the days of sending out random proposals to people who aren’t interested!

Why stay more generalised?

On the other hand, there are benefits to being more open as a freelancer.

The most obvious one is that you have access to more opportunities, which (in theory) equals more work. In this sense, generalisation may provide you with a greater sense of security than being a specialist in a specific area.

We also live in an ever-changing and increasingly competitive world, so it can be argued that locking yourself into one thing might not be the best idea.

A more general freelancer is able to adapt to their changing environment thanks to their ability to pick up new skills on the fly, and this means they’re ready for anything.

How do I choose my niche?

The million-dollar question. Generally speaking, there are two main approaches to this, with the first focusing on your own skills.

Consider your strengths and weaknesses, and use these to form the basis of the services you offer, prioritising what you know you’re good at.

Alternatively, you can choose to focus on whatever you think people are looking for, and this obviously involves undertaking a fair amount of research so that you have your finger on the pulse.

The best approach is probably somewhere in the middle. Whichever you end up choosing, though, try to ensure there’s a market for your niche before you go all in.

How do I market my new niche?

Okay, so you’ve picked a lane and found a way to stand out from the crowd. Now what?

Well, people have to know you exist before they can enquire about working with you, and so a good marketing strategy is crucial. This can take a number of different forms, though.

For example, email marketing is now a popular way of getting the word out about yourself, and involves sending promotional email communications to people on your mailing list.

It gives you a direct line to those who are interested in what you have to say (and offer), boosting customer retention while also encouraging any prospective clients to commit to working with you.

It can also be a very cost-effective form of marketing with a high return on investment – so long as you’re able to deliver content that’s useful and engaging.

Some other things you can do to promote your services are:

• Become a member of a professional association
• Network with other industry professionals at things like conferences
• Make use of the internet (for instance by using LinkedIn to network, or raising awareness on Reddit)

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post Should I Be a Specialist or a Generalist as a Freelancer? appeared first on Freelancer News.

Not only is this not what you signed up for, but it can actually get you in trouble with HMRC! This is because of legislation called IR35, which was introduced by the government to help tackle the issue of tax avoidance.

What actually is it, though? And how does it affect you if you’re a freelancer? Let’s take a look.

What is IR35?

The primary motive of the IR35 rules is to determine an individual’s employment status for tax purposes. It was introduced in an effort to clamp down on ‘disguised employees’ slipping through the tax-paying net.

What would be the benefit of disguised employment?

A disguised employee is someone working for a client on a supposedly self-employed basis, when in reality the working relationship is more like an employer and employee.

Before IR35 was introduced, a business could take on a contractor rather than hiring the same person as an employee. They wouldn’t need to pay National Insurance or other contributions, and wouldn’t have the responsibility of looking after staff.

For the freelancer, it was an opportunity to pay themselves in a more tactical way through their own limited company. This usually resulted in a lower tax bill than they would pay as the client’s employee.

Of course, not all disguised employees come about as a result of dishonesty. Sometimes, it’s because business owners and contractors aren’t sure where the boundaries lie.

How do I know if I’m inside IR35?

Being ‘inside’ IR35 means the way you’re working with a client falls within the remit of IR35 rules. A basic rule of thumb is that if you’re being asked to work the same hours as a regular employee, at the same location, and without the power to decide, you’re almost certainly inside IR35.

There’s also the question of Mutuality of Obligation, where there is any kind of obligation to give or accept work (on either side), rather than having the freedom to accept contracts as you wish. Freelancing is, of course, supposed to be flexible, allowing you to pick and choose the projects you want to work on, so it’s something to look out for!

What happens if a freelancer is inside IR35?

If you’re ‘within IR35’ for a particular project or job, then this has implications on how you pay tax. You’ll be considered an employee for tax purposes, and the ‘client’ must therefore deduct Income Tax and National Insurance contributions in the same way they would for an employee paid through their payroll.

If you’re outside IR35 and therefore not considered to be an employee for tax purposes, your bill will be paid to you in full without deductions. Whether your client makes deductions or not, you must report your income in your tax return!

Who decides if a freelancer is within IR35?

It’s up to the client to decide, but only if they’re a medium to large-sized private company which has either:

• More than 50 members of staff on its workforce
• Annual sales in excess of £10.2 million

If the client doesn’t meet the criteria, then you’re responsible for determining your own IR35 status. If you think you might need help determining your status (or just to be on the safe side), you can make use of HMRC’s online CEST (Check Employment Status for Tax) tool.

Contesting IR35 decisions

It’s worth knowing that you can contest a client’s verdict on whether you’re operating within or outside IR35. HMRC’s Alternative Dispute Service enables you to escalate the issue and contest the decision.

When starting work on a new contract or with a new client, make sure you have agreements down in writing to refer back to if necessary. It’s also worth doing this for any ongoing existing contracts.

Can I freelance for an old employer?

This is where things get a little complicated. If a previous employer gets back in touch with you to try and enlist your services as a freelancer, what’s the correct response?

After all, you don’t want to get in trouble, and wouldn’t you automatically fall inside IR35 if you were to say yes? Well, not necessarily.

It really boils down to whether or not you operate in a way that contravenes the IR35 rules, based on the criteria outlined above. Again, the basic rule of thumb is that if you feel as if you’re being treated like a regular employee, you might have something to worry about.

Failing to comply with IR35 can result in financial penalties.

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post How Does IR35 Affect Freelancers? appeared first on Freelancer News.

However, because of the casual nature of the work, some freelancers are in danger of ignoring the legal implications of working on the side. You might not think your side venture counts as a business but it does, and you have certain responsibilities as a result.

Whether you’re planning on setting up a full blown business or are just thinking of an occasional casual thing alongside your job, the rules are the same and you still need to register as self-employed with HMRC if you plan to make any money from your ventures.

The good news is that it’s fairly easy to do.

What does being a sole trader actually mean?

As a freelancer, you’re going to have to register as self-employed and more specifically as a sole trader.

Despite how it sounds, it doesn’t actually apply to people who just work alone. So you can take on staff if you want. It just means that you’re solely responsible for the business.

How to register

You should register as soon as you can after starting your business and can through the government’s website here.

You have until 5^th October in your business’s second tax year in order to do so. If you don’t register in time you won’t face a penalty as long as you send your tax return and pay your bill on time.

How you register will depend on whether you’ve ever sent tax returns before.

Never sent one?

If you’re a sole trader who has never sent a tax return, you need to tell HMRC you want to be a sole trader by registering as a new business.

You will then register for Self-Assessment tax returns which you’ll use to report your income at the end of every tax year, and National Insurance at the same time. For more information about the different types of National Insurance you need to know about, click here.

Sent a tax return in the past?

If you’re a new sole trader who has sent a tax return before as an individual for things like investment or rental income, you will need to register as self-employed.

You will also need to register for Class 2 National Insurance using a CWF1 form. This will allow you to continue using your Self-Assessment account.

In order to do this, you will need your Unique Taxpayer Reference (UTR) so that HMRC can link your accounts. You can find this on your previous tax returns, online account or from documents from HMRC. Contact HMRC is you can’t find your UTR.

Starting up again?

If you’ve ever registered or done business as a sole trader, then you will need to reregister in order to set up trading again. You will need to reregister using the CWF1 form and your UTR so that you can use your existing account.

The process of registering as a sole trader will take around 10 working days, or up to 21 if you’re registering from abroad. This is because HMRC will post you an activation code which you will need when you sign into your online account for the first time.

Once you’ve registered and set up a system for managing your finances you can then go about growing your business. You may even want to hire an accountant who can take care of your bookkeeping and taxes so that you’re free of the stress and the time that you could be spending elsewhere on working on your business.

Your responsibilities

The work’s not over once you’ve registered. As a business owner, you have certain legal responsibilities in order to comply with HMRC’s rules to avoid getting penalised.

It’s important to make sure you’re always running your business by the books and aware of how much tax you’re going to owe so you don’t get hit either with a nasty surprise or even a fine if you don’t pay your taxes on time.

In order to keep your business above board, you will need to do the following:

• Keep records of sales and expenses, including bills for expenses
• Send a Self-Assessment tax return each year
• Pay income tax on your profits and Class 2 or 4 National Insurance
• Settle debts
• Register for VAT if your turnover reaches the threshold of £83,000

Hiring an accountant will make this process easier as they will be able to give you the best advice regarding things like expenses and tax efficiency as well as making sure that your business is doing everything the right way.

Hiring an online accountant and using a free accounting software like Pandle will help you save money.

Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post How to Register as Self-Employed as a Freelancer appeared first on Freelancer News.

That said, while lashing out might feel good in the moment, it won’t help you attract prospective clients in the future.

Reframing a “bad” review is an opportunity to improve and demonstrate your commitment to client satisfaction. To help you out, let’s go through some of the things you can do to make sure you’re dealing with negative reviews in the right way.
 

Find the feedback

It might seem obvious, but you can’t deal with a review you’re not even aware of! How do you make sure you don’t miss anything, though? After all, it’s not called the world-wide web for nothing.

Well, the first thing you can do is make a habit of regularly checking the relevant review sites and social pages. This should ensure nothing escapes your notice.

Alternatively, you could consider using some kind of social listening tool to automate the process and help you find feedback you’re not tagged in.
 

Assess the situation

It’s important not to react right away. Before you do anything, verify that the review is in fact legitimate (and not someone trolling).

You should then conduct an internal investigation into whatever the complaint is about, making sure to be as thorough as possible so you can determine exactly what happened and whether or not the person is justified in feeling aggrieved.
 

Respond promptly

This initial response is really just about acknowledging the review and letting the person know that you’re looking into the matter. In that sense, you can think of it as a kind of placeholder.

Still, though, it’s a good idea to apologise and express your sympathy up front, as this shows you care about your clients’ feelings – regardless of why they feel the way they do.

Again, try and refrain from going on the offensive (we know it’s tempting). It tends not to be very constructive and only serves to make you appear as if you don’t care, or are above taking criticism.

Also bear in mind that any response you post online or on social media will be visible to prospective clients, and it may be a deciding factor in whether or not they ultimately choose to enlist your services.
 

Take the matter offline

After posting your initial response, you should contact the client directly (by email, telephone, or even direct message) as a way of following up. This once again demonstrates your commitment to rectifying the situation.

You should do your best to explain what (if anything) went wrong, based on the results of your internal investigation.
 

Knowing what to do next

If you are actually at fault, then simply own up to your mistake and hope the person appreciates your honesty. If not, you should still apologise for the fact they aren’t happy, but there’s no real point going into any kind of detail.

It’s also advisable to ask the unhappy client open-ended questions, as the answers to these might provide you with more clarity on what steps you can take to fix the situation and prevent it from happening again in the future.
 

Rise above it if you have to!

Of course, it’s impossible to please everyone, and you will sometimes have to accept letting a situation remain unresolved (as annoying as this is).

Even when dealing with a difficult or unreasonable client, though, you should conduct yourself with grace and try to find the silver linings (e.g. feedback which can be used to help you improve moving forwards).

People will be people at the end of the day, and sometimes there’s just nothing you can do.
 

Update your public response

The final thing you should do is revisit your initial response and update it to reflect the fact that you’ve spoken with the client and (hopefully) resolved the matter.

Your final response should confirm that you carried out an investigation and contacted the client directly to follow up.

In addition, it should state whether the outcome was positive or negative, and it wouldn’t hurt to chuck in one last apology for good measure!

Now, if you fancy pushing your luck, you can test the waters and see if the client would be willing to either change their original review or write a separate testimonial speaking to the way in which you reached out to sort their issue.

 
Head over to our information hub for more guides, news and advice on navigating life as a professional freelancer, from finance to tech and more.

The post Handling Negative Reviews as a Freelancer appeared first on Freelancer News.