View Full Version : self employed webmasters - book keeping and dollars
Hi,
I'm wondering how other self employed webmasters in the UK deal with book keeping and dollars. I get dollar cheques from alot of companies and i don't know how much pound they are worth until i've paid them into the bank (and then the amount is minus the bank's fee for a dollar cheque). At which point do i log an amount, and which amount? what do you do?
I need to register as self employed and deal with this stuff as soon as possible, i'm getting worried now, i don't want any trouble with the tax bastards.
I'm sure there must be alot of self employed webmasters here who have been through this and have it all worked out. Any advice is appreciated, but please don't reply with just "speak to an accountant" becuase they are expensive and most of them have no idea about these dollar and webmaster issues.
Please help! :wtf:
foreign currency checks we put in the bank, take the full amount after the exchange into the books as income and put the bank fees, whic hare obviously in your local currency anyway, on the expenses side. pretty simple.
in the files there is a copy of the check plus the bank info on exchange rate of the day/resulting amount/fees.
Hi,
I'm wondering how other self employed webmasters in the UK deal with book keeping and dollars. I get dollar cheques from alot of companies and i don't know how much pound they are worth until i've paid them into the bank (and then the amount is minus the bank's fee for a dollar cheque). At which point do i log an amount, and which amount? what do you do?
I need to register as self employed and deal with this stuff as soon as possible, i'm getting worried now, i don't want any trouble with the tax bastards.
I'm sure there must be alot of self employed webmasters here who have been through this and have it all worked out. Any advice is appreciated, but please don't reply with just "speak to an accountant" becuase they are expensive and most of them have no idea about these dollar and webmaster issues.
Please help! :wtf:
Register as self employed and get that sorted before the tax man looks at you himself.
Actually, accountants are pretty much free as they are tax deductable and *all* accountants are well up with all dollar and euro issues in the modern world.
Thank you very much for your fast responses. I guess I am worried becuase everything is happening so fast. So much money coming in now and having never even had a job before (i'm young) working out what needs to be done for self employment / tax is pretty scary. I only recently opened my first ever bank account, to pay these cheques in! I have found most information on businesslink.gov.uk :)
xcite-tv
09-14-05, 07:02 PM
bugger i thought i paid tax by simply using petrol
bugger i thought i paid tax by simply using petrol
we fuckin should do, 66% of the price is tax! it's criminal mate.
fredicus
09-14-05, 07:25 PM
Ironically, contacting your local tax office and explaining your needs isn't such a dumb idea, getting yourself set up correctly from the start can save £££'s later ;)
Welcome to B&B Tom.
I was in a similar position to yourself just a few months ago.
The first things you should do is register as self employed with H.M.R.C. (http://www.hmrc.gov.uk/forms/cwf1.pdf)
You should also fill in the form for small earnings exemption from National Insurance, especially for your first year.(http://www.hmrc.gov.uk/forms/cf10.pdf)
You might want to mention that your business is web design / Internet marketing rather than report that you are in the porn business :)
Still awaiting my first tax return but I put 25% of the proceeds from my ccbill cheques in a seperate account so when I eventually have to pay some tax it won't be such a shock to the system.
Welcome to B&B Tom.
I was in a similar position to yourself just a few months ago.
The first things you should do is register as self employed with H.M.R.C. (http://www.hmrc.gov.uk/forms/cwf1.pdf)
You should also fill in the form for small earnings exemption from National Insurance, especially for your first year.(http://www.hmrc.gov.uk/forms/cf10.pdf)
You might want to mention that your business is web design / Internet marketing rather than report that you are in the porn business :)
Still awaiting my first tax return but I put 25% of the proceeds from my ccbill cheques in a seperate account so when I eventually have to pay some tax it won't be such a shock to the system.
Thank you very much - some interesting stuff to look into. Yeah, I told my account manager at the bank I was a web designer when opening the account ;) cbill and most others are pretty much private but I have one cheque which clearly says "fuck my bride" at the top LOL - i'm yet to pay it in, should be a laugh.
I have one cheque which clearly says "fuck my bride" at the top LOL - i'm yet to pay it in, should be a laugh.
Might be worth pinning that one to the wall as a momento as they will close your account if you pay that in to a UK bank.
mOBSCENE
09-14-05, 07:48 PM
Thank you very much - some interesting stuff to look into. Yeah, I told my account manager at the bank I was a web designer when opening the account ;) cbill and most others are pretty much private but I have one cheque which clearly says "fuck my bride" at the top LOL - i'm yet to pay it in, should be a laugh.
Interesting - none of the companies I use put their actual site names on the checks - more like an umbrella "so and so enterprises" or whatever. Still, good job I didn't use "fuckingfilthypornpeddler" as my affiliate ID, as the ID usually does appear somewhere! :crown:
Might be worth pinning that one to the wall as a momento as they will close your account if you pay that in to a UK bank.
Yeah, I have been worried about that. It's not for much so I may give it a miss.
The cover letter / statement part of the cheques I get (usualy tear off the cheque at the bottom) sometimes have a brakedown of each site earnings with the site's name. I really need to keep this paperwork it seems so I guess in future an accountant will have to see it. I really don't care what people think as long as it does not get me into trouble or stop them doing business with me. Has anyone had any problems like that?
could try the risky ones with http://www.auctionpix.co.uk/misc/money.html and have them exchanged.
Mattyboy
09-14-05, 08:06 PM
Tell an accountant exactly what you do is best. Find one thats cool with it so you won't get stuck later.
Tell an accountant exactly what you do is best. Find one thats cool with it so you won't get stuck later.
Excellent advice.
There is a girl who advertises on Richards Realm's board called Sandy (I think) who is an accountant and also in the porn business. No idea if she is any good, or whether I should post the url here.
I keep $$'s in a $ account and transfer it into ££'s when the exchange rate suits, or when I need the cash. The Inland Revenue are interested in the ££'s amount so that is the figure you should log, also as someone has mentioned you should show the costs of the transaction as an expense, or simply show the net amount as income, depending on how detailed you want your accounts to be.
If you hold $$'s the only real issue is how much is in $$'s at the end of the tax year. I am not too sure how to deal with that (I ignore it!!) but I guess the best thing to do is convert the money at the exchange rate available at the time.
Good to know the cheques are rolling in!
There is a girl who advertises on Richards Realm's board called Sandy (I think) who is an accountant and also in the porn business. No idea if she is any good, or whether I should post the url here.
I keep $$'s in a $ account and transfer it into ££'s when the exchange rate suits, or when I need the cash. The Inland Revenue are interested in the ££'s amount so that is the figure you should log, also as someone has mentioned you should show the costs of the transaction as an expense, or simply show the net amount as income, depending on how detailed you want your accounts to be.
If you hold $$'s the only real issue is how much is in $$'s at the end of the tax year. I am not too sure how to deal with that (I ignore it!!) but I guess the best thing to do is convert the money at the exchange rate available at the time.
Good to know the cheques are rolling in!
Shes also my accountant :) and not only is she a good accountant, but is also wanking material :)
If you are self employed and doing cash accounting, you only need to worry about the UK amount you pay into your account. Forget the dollar amount and exchange rates. You only need to worry about the actual pound notes you pay into the bank minus your expenses. But Matt is 100% right, get an accountant asap and preferably one who understands the internet and the adult buisiness. paying out the odd £500 will save you thousands in the long run
Actually, accountants are pretty much free as they are tax deductable
Hmm, no. You deduct expenses from your gross profit, not your tax liablity, so the 'tax deduction' is only the expense multiplied by the tax rate.
Hmm, no. You deduct expenses from your gross profit, not your tax liablity, so the 'tax deduction' is only the expense multiplied by the tax rate.
Just make sure that you have as much gross profit as possible and then let your accountant sort out the rest. :)
does anyone know an accountant familar with our business near london or surrey?
does anyone know an accountant familar with our business near london or surrey?
Yes, Sandy is in London?
does anyone know an accountant familar with our business near london or surrey?
Sandy as mentioned before, shes from Essex but able to travel, Im in Sussex and she has no problem coming down here
http://www.thesexyaccountant.co.uk/
We would pay her a lot of money for a shoot if she would come out of retirement just for one day too. :)
Another recommendation for Sandy - she's the only accountant we spoke to who had any concept of the adult industry and billing clients in US$ - she's also really not that expensive at all.
I should like to point out that I do not wank over her.
I should like to point out that I do not wank over her.
I bet :eyebrows:
I should like to point out that I do not wank over her.
Id like to point out that I do :eyebrows:
I also had a wank thinking about rosie wanking over her :eyebrows:
also as someone has mentioned you should show the costs of the transaction as an expense, or simply show the net amount as income, depending on how detailed you want your accounts to be.
the point of splitting it up is that somewhere down the lane you will coem across some extra clever tax man trying to pick your shit apart, if then all you have is the net amount he'll claim that number isn't correct cos according to this and that bank info it should be another amount. obviously he will just take the US$ amount and convert it and compare it with your figures.
if then you cannot back up your bank costs, you are pretty much fucked. and even if you still can, you'd have to do the work anyway, might as well do it straight away.
IMO that is.
morefodder
09-14-05, 11:06 PM
Id like to point out that I do :eyebrows:
I also had a wank thinking about rosie wanking over her :eyebrows:
:lmao2: :lmfao: http://i6.photobucket.com/albums/y247/p1csh05t/icon_bannermuahaha.gif
How does this board go from a serious discussion about the legalities of registering a business to wanking so quickly? I'm shocked at you dirty boys.
:cumbuddy:
How does this board go from a serious discussion about the legalities of registering a business to wanking so quickly? I'm shocked at you dirty boys.
Who says we are wanking quickly?
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