Clean It Up
UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: Marc Stock on April 18, 2017, 01:05:20 pm
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Well not long now till payday.As I am now effectively an employee I actually get my 1st payslip end of this month.
Not had a propper job in 14 years. Lol
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Still window cleaning are you
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Yeah still window cleaning.
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Yeah still window cleaning.
Are you paying yourself a set wage?
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every days a pay day for me.sod paying myself a "set wage". ::)roll ;D
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He will be going down the Ltd route
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
Hi Marc
Are you still running your engineering company to?
Employing is a whole new ball game... It's not as simple as replicating what you do in one van into another van.
Andy :)
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Yes the engineering company is still going. We have a lot of money tied up in it now and it's on its 3rd year of trading and it's only just starting to make a small profit.
I'm there to help bring in more business for the company and invest in it, and learn engineering but that's a long process which will take time. I can machine set now and do basic engineering operations. But it's my father who is the engineer.
On the window cleaning side this is still the business that is paying my bills, putting food on the table and keeping a roof over our heads; so I want to grow it a little more.
You employ Andy?
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
If you can't get more than £50k out of a van in Surrey you are doing something wrong.
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50k a year for one man in a van seems a bit high but as your talking "down south" then its probably possible.(dont forget a worker will never work as efficiently as yourself).
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50k a year for one man in a van seems a bit high but as your talking "down south" then its probably possible.(dont forget a worker will never work as efficiently as yourself).
£50k a year in one van is low down here.
Say the van does 46 weeks in the year (it should be more but worse case scenario). That's £1,086 per week, £217 per day... Once established and got the work you should be doing a lot more than that.
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Yes but I'm not working full time anymore.
The bulk of my work is Monday Tuesday and Thursday. Wednesday I have off all together and Fridays are quarterly cleans.
I used to work my backside off and clear well in excess of 50k back in 2007 but it brought me nothing but stress and a huge tax bill I couldn't repay due to mismanaged account practices that was my own fault.
Now I'm living a simpler life, just taking what I need to live out the business. I think that 50k per van is fine. Even if on the 2nd van I only make 5-10 grand a year profit for the business , I'm not bothered as the money is staying in the business anyway as long as my minimum living costs are covered from my PAYE and the 2nd van covers employee wage with a small profit afterwards... I'm happy
And of course don't forget I am doing this engineering business with my other time..
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
If you can't get more than £50k out of a van in Surrey you are doing something wrong.
He must be a novice. I only work Mondays between 9am and 10am and I'm clearing 105k after all expenses! 25 holidays abroad per year too.! Must admit though, I am getting a bit bored on the tools, I might sell up!
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
If you can't get more than £50k out of a van in Surrey you are doing something wrong.
He must be a novice. I only work Mondays between 9am and 10am and I'm clearing 105k after all expenses! 25 holidays abroad per year too.! Must admit though, I am getting a bit bored on the tools, I might sell up!
Sarcasm isn't helpful. Reading through he's only part time. At that level it's pointless going ltd I'd have thought. One van in this area with good work can do nearer double £50k f/t and he could therefore put his part time employee out in his van when he's not using it.
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
If you can't get more than £50k out of a van in Surrey you are doing something wrong.
He must be a novice. I only work Mondays between 9am and 10am and I'm clearing 105k after all expenses! 25 holidays abroad per year too.! Must admit though, I am getting a bit bored on the tools, I might sell up!
Sarcasm isn't helpful. Reading through he's only part time. At that level it's pointless going ltd I'd have thought. One van in this area with good work can do nearer double £50k f/t and he could therefore put his part time employee out in his van when he's not using it.
Who said anything about sarcasm? Can you not hit those figures part time?
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Yes the wife and I are employees (me director) of Bramar Ltd Trading as StockClean. We are taking up to our personal allowance in salary which is (just) enough for us to live on (we have had to simplify quite a bit though), and the rest of the money is left to build up in the business.
I aim to have an additional van by summer 2018 with an additional employee so will hopefully be able to achieve this by keeping personal living costs low and keeping money in the business for future investment and growth. I am currently turning over £45,000 a year, about £6k less than last year as i sold off some work last year anyway. And will need to get turnover above £50k a year before being able to buy another van.
My rule of thumb is £50k per van, i dont know what others think but i was killing myself 2 years back trying to break £55k on one van, and its just not possible these days.
whats your opinion?
If you can't get more than £50k out of a van in Surrey you are doing something wrong.
He must be a novice. I only work Mondays between 9am and 10am and I'm clearing 105k after all expenses! 25 holidays abroad per year too.! Must admit though, I am getting a bit bored on the tools, I might sell up!
Sarcasm isn't helpful. Reading through he's only part time. At that level it's pointless going ltd I'd have thought. One van in this area with good work can do nearer double £50k f/t and he could therefore put his part time employee out in his van when he's not using it.
Who said anything about sarcasm? Can you not hit those figures part time?
9-3:30 yes. Is that part time? I'd call that full time.
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It's not pointless going LTD.
1. I'm going to be able to take £23,000 out of the business in wages for both me and the missus. And an extra £5000 in dividends tax free for myself. So that's £28k with no tax to pay. Enough to live on which is what I'm after.
2. I won't need to make payments on account anymore for self employment. This is a ball ache and makes life difficult if you keep growing your business as your always needing to find another half year of tax payments to make when they aren't even due yet.
3. I do want to grow my business, I know for a fact that down here earning 70k a year is entirely possible for one van, however there is little point as a sole trader as when you hit those figures the majority of that upper income goes in tax.
4. My comments about it being difficult to hit £55k is more of a personal hurdle for me. I have in the past nudged vat threshold but I was working Monday to Friday every week every month full time and I did it for nearly 4 years and completely got fed up with the job. Eventually i hated it Boring boring boring, and the tax due...Goodness me what was the point of all that work most of it gobbled up by the taxman.
5. My working calender is a 4 week month. I do not work on 5th weeks. I am working 4 days a week with Wednesdays my selfish day to do what I want to do. When I do work I am mostly finishing by 4pm and starting at 9. Some days I hit £400 a day other days less, it's swings and roundabouts. Depends on the round.
6. Since reducing my hours, and taking Wednesdays off I have found my enthusiasm back in window cleaning.
I do appreciate that there are ones on here that say I'm doing something wrong by not doing more than 50k a year, but I have been there and done that and it's just not worth it by the time you pay your taxes.as a sole trader. Been doing it for 14 years now.
Plus I got clobbered for an extra £30k tax bill in 2008. As in the early days I was making a lot of money and it was easy. And I had to declare bankruptcy.
I am looking to expand the business with another van, and an employee. It's up to that employee to make it successful as they will be on commission for targets etc.
A window cleaning business with 20 vans at 50k per van is a £1million a year turnover company. I can't see how that is somehow a failure on those estimations.
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Why did you get an extra tax bill?
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Why did you get an extra tax bill?
I got investigated from 2004 to 2008 and what I thought I could claim I wasn't entitled to in.HMRC opinion. So I had underpaid by approx 7k a year and it caught up with me.
:-[
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Oh bludy hell :-[
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Don't forget the 20% corporation tax on profit that needs to be paid though.
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it's 19 percent. :P going down to 17percent in 2020
And that's just one payment. Nothing on account and all that silly Willy...Nonsense they get you to do as self employment
So say the business makes 15k profit after our wages of 23k at zero tax.
That's only £2850 due to the taxman. Leaving £12,150 in company funds to withdraw up to £5000 tax free dividends
Of course it's worth going LTD only problem is your accounts can be seen by public.
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it's 19 percent. :P going down to 17percent in 2020
And that's just one payment. Nothing on account and all that silly Willy...Nonsense they get you to do as self employment
Marc
You can make your other half a director even if she has another job and give her a £5k dividend tax free too.
Gets another £5k into your household
No charge for the advice!
Im suprised Danny didnt tell you!
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it's 19 percent. :P going down to 17percent in 2020
And that's just one payment. Nothing on account and all that silly Willy...Nonsense they get you to do as self employment
Marc
You can make your other half a director even if she has another job and give her a £5k dividend tax free too.
Gets another £5k into your household
No charge for the advice!
Im suprised Danny didnt tell you!
Yeah I know but she is nearing the end of an Iva and by her taking a dividend they will want more from her only a year and a half to go
Come on Danny wheres your input?
Lee...you get a jelly baby..
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There is the cost of accounting fees though. A self employed person can do his own tax return but you need audited accounts as a Ltd company. With the tax now on dividends as well the difference is marginal.
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That is completely false about it being marginal.
Even with accounting fees im still saving money and you have the option of getting the best price by shopping around if you so wish. You cant shop around for the best price as far as tax is concerned.
You do need audited accounts, but there is a lot you can do yourself to limit the costs. Many accounting packages theae says are very cost effective and simply need a check at the end of the period by your accounting firm before accounts submission. Not like it used to be having to pay for a bookkeeper anymore. Some companies offer a whole package electronicly now.
My accountant is charging approx £1300 a year and that includes payroll but they are a chartered firm Barnbrook Sinclair who i highly recommend with those fees a decent accountant will be well worth thier price.
As a sole trader you are unfortunately open to all sorts of abuse from HMRC. sole traders are an easy target, you might think by doing things yourself you are saving money but if HMRC decide to target you on an investigation it can get ugly as you have no legal representation or comeback and if they can get away with it they will argue that white is black, trust me i have been on the receiving end of this its not nice, and they dont care at all.