Questions regarding becoming self employed

benji469

Hi,


I recently became AAT qualified and have been considering doing some part time work as a self employed accountant. I have a full time job as an accounts assistant so my part time work be carried out in the evening and/or at weekends.

My questions are

Is it worth me doing this? If I offer my services in bookkeeping VAT returns and self assessment am I likely to make enough money for this to be worth while?

Also, what requirements are there for me to start doing this?

Thanks in advance,

Benji

T.C.

You would need to register as a member in practice and make sure you have insurance and are qualified for the jobs that you undertake. But why not have a go! Go for it!

Dcollins

You won't really know if it's worth it unless you try it out.

As TC said you'd need an MIP licence, and insurance, but also register with HMRC as self-employed, and as an agent, and with ICO as a data controller.

You might want to consider some way for clients to get in touch during the day too.

jamesm96

I'd say go for it! It's exactly what I do and generates a handy supplementary income and I must say I find it very rewarding. The Page Personnel / AAT Salary Survey that I read recently stated that, in fact, the majority of AAT MIPs also have a main employment.

benji469

Thanks a lot guys.

James which accounting software do you use?

Also how did you initially start to get a client base together?


Is it true that you are not allowed to advertise as being AAT qualified?


Also I have no real experience in bookkeeping, vat returns etc. I have have experience from my job for a Ltd company.

I plan to just use the knowledge I have from college and refer to my notes too.

Is this possible?

Thanks in advance

Ben

jamesm96

benji469 wrote: »

Thanks a lot guys.

James which accounting software do you use?

Also how did you initially start to get a client base together?

Do you mean me? I just use HMRC's own online services at the moment because I've only ever done less than half a dozen tax returns so shelling out for software is pointless. Considered PTP though as it's very cheap.

Clients are all family or friends; I wouldn't do it otherwise as my employment is where my focus is, but when a friend comes to me and asks me if I can help them then I'm happy to look after them. If they're looking for a 'full package' and want more than just a basic service for a good price then I'd look after them through the firm I work for.

benji469 wrote: »

Thanks a lot guys.

Is it true that you are not allowed to advertise as being AAT qualified?


Also I have no real experience in bookkeeping, vat returns etc. I have have experience from my job for a Ltd company.

I plan to just use the knowledge I have from college and refer to my notes too.

Is this possible?

Thanks in advance

Ben

As I understand it (I think it was Monsoon that clarified this for me on a recent thread) you're not allowed to trade at all if you're AAT qualified but aren't registered as a Member In Practice (MIP). When you register as an MIP and apply for a licence you need to be able to show evidence of experience / knowlege in each of the technical areas in which you would like to be registered.

Monsoon

jamesm96 wrote: »

As I understand it (I think it was Monsoon that clarified this for me on a recent thread) you're not allowed to trade at all if you're AAT qualified but aren't registered as a Member In Practice (MIP). When you register as an MIP and apply for a licence you need to be able to show evidence of experience / knowlege in each of the technical areas in which you would like to be registered.

Spot on.

The 'not referring to the AAT' thing is the rules for student members, who can practice within their competence but cannot refer to the AAT in any way.

Once you are a MAAT, if you want to do any work for yourself at all, you MUST contact the MIP team to see if you need a license (there are very few exceptions).

Software: for bookkeeping and accounts you can't go wrong with VT.

For tax returns, HMRC's stuff is free. Once you get more than a few clients you may want 3rd party software. We use FTax.

benji469

thanks for your help guys. It really is appreciated.


Ben