Mobile menu

Setting up as a freelancer (in England)
Thread poster: Mark Osborne
Mark Osborne  Identity Verified
United Kingdom
Local time: 17:25
French to English
+ ...
Mar 16, 2004

Hello everyone,

I'm planning to start work as a freelancer in the UK in about four months' time (with a fair number of contacts and experience already), and just have a couple of questions for you experienced experts:

- Do you regard it as necessary to use an accountant to help with tax issues, etc.?

- Is there any advantage in charging VAT, even if your income is below the minimum level (GBP 56,000)?

- Have you encountered problems maintaining a bank account in one country (e.g. Germany) when resident in another country (e.g. England)? Some banks seem to require residency in the same country...

Thanks for any tips!

Best wishes,

Mark


Direct link Reply with quote
 

Mary Worby  Identity Verified
United Kingdom
Local time: 17:25
Member
German to English
+ ...
Freelancing in the UK Mar 16, 2004

Mark Osborne wrote:
- Do you regard it as necessary to use an accountant to help with tax issues, etc.?


Not absolutely necessary, but very useful unless you personally have expertise on tax, which I don't!

- Is there any advantage in charging VAT, even if your income is below the minimum level (GBP 56,000)?


The main advantage is that it allows you to claim VAT back on all purchases - computers, software, office supplies, telephone bills, etc. It does mean completing returns every three months, but if you are doing things properly and logging all your income and expenditure, the actual additional work is minimal.


- Have you encountered problems maintaining a bank account in one country (e.g. Germany) when resident in another country (e.g. England)? Some banks seem to require residency in the same country...


I've got an account in Germany, which I set up with a UK address and no requirement for a German address. Obviously this varies between banks, but I've had no problem!

HTH
Mary


Direct link Reply with quote
 

Marijke Singer  Identity Verified
United Kingdom
Local time: 17:25
Dutch to English
+ ...
Freelance work in the UK Mar 16, 2004

- Do you regard it as necessary to use an accountant to help with tax issues, etc.?

Not essential but very useful. Usually it will save you at least the cost of the accountant if not more. I do not know anything about tax!

- Is there any advantage in charging VAT, even if your income is below the minimum level (GBP 56,000)?

I agree with Mary but there is another advantage in relation to the EU and the new legislation. Some agencies/companies in EU countries insist on having your VAT number if not they will charge you VAT. Depends on whether you ever outsource work or not.

- Have you encountered problems maintaining a bank account in one country (e.g. Germany) when resident in another country (e.g. England)? Some banks seem to require residency in the same country...

I have bank accounts in the UK, the Netherlands and Spain. The only problems I have had are with the Spanish bank account: they will not send your banker's card by post nor can you send them a letter with instructions. I haven't had any problems setting up the accounts though.

Good luck!


Direct link Reply with quote
 
Mark Osborne  Identity Verified
United Kingdom
Local time: 17:25
French to English
+ ...
TOPIC STARTER
Many thanks Mar 18, 2004

Dear ladies,

Many thanks to you both for your replies - they have both been most helpful!

I'll have to think about the VAT option - reclaiming VAT obviously sounds very interesting, but then again it would put my prices up and make me less competitive...

Thanks again for your advice.


Direct link Reply with quote
 

Mary Worby  Identity Verified
United Kingdom
Local time: 17:25
Member
German to English
+ ...
VAT Mar 18, 2004

Mark Osborne wrote:

I'll have to think about the VAT option - reclaiming VAT obviously sounds very interesting, but then again it would put my prices up and make me less competitive...



It would only make you less competitive if you are dealing with private individuals or very small companies. Anyone with a turnover of over £56,000 would be VAT-registered themselves and able to claim back the VAT you charge.


Direct link Reply with quote
 
Kallen6
Local time: 17:25
Russian to English
+ ...
VAT Apr 15, 2004

Mary Worby wrote:

Mark Osborne wrote:

I'll have to think about the VAT option - reclaiming VAT obviously sounds very interesting, but then again it would put my prices up and make me less competitive...



It would only make you less competitive if you are dealing with private individuals or very small companies. Anyone with a turnover of over £56,000 would be VAT-registered themselves and able to claim back the VAT you charge.


You should be careful with your VAT, though. If you are working from home, remember that you will need to be careful about splitting any VAT incurred ("input VAT") between that which relates to your business and that which relates to your personal use.


Direct link Reply with quote
 


To report site rules violations or get help, contact a site moderator:


You can also contact site staff by submitting a support request »

Setting up as a freelancer (in England)

Advanced search


Translation news





SDL MultiTerm 2017
Guarantee a unified, consistent and high-quality translation with terminology software by the industry leaders.

SDL MultiTerm 2017 allows translators to create one central location to store and manage multilingual terminology, and with SDL MultiTerm Extract 2017 you can automatically create term lists from your existing documentation to save time.

More info »
memoQ translator pro
Kilgray's memoQ is the world's fastest developing integrated localization & translation environment rendering you more productive and efficient.

With our advanced file filters, unlimited language and advanced file support, memoQ translator pro has been designed for translators and reviewers who work on their own, with other translators or in team-based translation projects.

More info »



All of ProZ.com
  • All of ProZ.com
  • Term search
  • Jobs