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Where Taxpayers and Advisers Meet

Going from self employed to full time salary

dimke
Posts:21
Joined:Mon Nov 03, 2014 4:49 am
Going from self employed to full time salary

Postby dimke » Wed Feb 22, 2017 8:05 pm

I am not very familiar with the UK tax system. I've been self-employed so far, having a major US client and invoicing them and doing a self assessment at the end of the year. I am interviewing for a couple of regular salary positions (software engineering) and I am wondering, will I then have to change my self-employed status and be a PAYE (which I am vaguely familiar with?). The main reason for the question is that I will still have income outside the full time job, e.g. there is at least a £300/month that will keep on coming from some small apps (and this could increase depending on how I spend my free time in the future), so how would I deal with that? I should know now before I am offered a position in case I have to make a specific arrangement when I get hired.
TIA!

bd6759
Posts:4267
Joined:Sat Feb 01, 2014 3:26 pm

Re: Going from self employed to full time salary

Postby bd6759 » Wed Feb 22, 2017 10:13 pm

There is nothing really comlicated about it. PAYE is simply a method for collecting tax from your employment income. You will still be self employed in relation to the other income and will still put that income in your tax return. The only difference is that in future you will also have employment income which you will record in he employment section of the return.

dimke
Posts:21
Joined:Mon Nov 03, 2014 4:49 am

Re: Going from self employed to full time salary

Postby dimke » Thu Feb 23, 2017 1:54 am

Ah, so there is no problem being both self-employed and a regular employee, I just add everything in the self assessment. Thanks.

SteLacca
Posts:448
Joined:Fri Aug 07, 2015 2:17 pm

Re: Going from self employed to full time salary

Postby SteLacca » Thu Feb 23, 2017 5:23 pm

You don't "Add" them. There are separate schedules on the Return for declaring self-employed and employed income. You'll simply complete both.

dimke
Posts:21
Joined:Mon Nov 03, 2014 4:49 am

Re: Going from self employed to full time salary

Postby dimke » Thu Feb 23, 2017 10:15 pm

Well, yes, understood, I meant add them to the respective parts, not produce a sum ;) Thanks.


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