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In this guide, you’ll learn the key considerations, work through a practical example and find useful next steps. Take your time and use the free worksheets to put ideas into practice.

What you’ll take away

  • Identify your business structure
  • Record transactions consistently
  • Plan for payment dates

Identify your business structure

Sole traders and limited companies can have different tax and filing responsibilities.

Record transactions consistently

Keep invoices, receipts, mileage records where relevant and evidence of business expenditure.

Plan for payment dates

Use a calendar for relevant filing and payment deadlines. A tax reserve is money set aside for future liabilities, not a fixed percentage that suits everyone.

Check official rules

Thresholds and allowances change. Verify current HMRC guidance or ask a qualified accountant about your specific position.

Try it yourself

Create a monthly routine for reconciling income, expenses, unpaid invoices and tax dates.

Important limits and risks

This guide does not calculate personal tax liability or replace accounting advice.

Putting your learning into practice

Use the guidance above to identify the information you need and the questions to investigate. Consider:

  • Identify your business structure.
  • Record transactions consistently.
  • Plan for payment dates.
  • Check official rules.

This is general financial education, not a personal recommendation, an assessment of suitability or an invitation to buy or arrange a financial product. Check current official information and obtain appropriate professional advice for individual circumstances.

Further information

Official or independent UK information →

Educational information only. Family Money Matters does not recommend particular investments, pensions, mortgages, insurance policies, credit products or individual transactions. Seek an appropriately authorised adviser where regulated advice is needed, and a solicitor or accountant for legal or tax questions.

Put your learning into practice

Explore the workbook for your situation and record your own figures.

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Keep learning

Use a worksheet to explore your own figures, or browse another topic in the guide library.

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