We explain going from employed to self-employed in plain English, handle it correctly, and make sure you claim every relief you are entitled to, all at a fixed fee.
Going from Employed to Self-Employed
Leaving a job to work for yourself changes your tax completely, from PAYE where tax is deducted automatically, to Self Assessment where you work out and pay it yourself, often with a gap before your first bill that needs planning for.
We register you as self-employed, help you understand and plan for your new tax position, make the most of the transition year, and set you up with records and tax reserves, so the move is smooth and there are no nasty surprises.
The transition year is a chance to plan, you may be able to set early self-employment losses against the employment income you have already been taxed on, producing a refund, while getting used to paying tax yourself.
The Detail That Matters
Leaving a job to work for yourself changes your tax completely, from PAYE, where tax is deducted automatically, to Self Assessment, where you work it out and pay it yourself, often with a gap before the first bill that needs planning for.
Under PAYE your tax was deducted each payday. Self-employed, you file a Self Assessment and pay in arrears, so tax accumulates and must be set aside; the first payment can be many months after you start earning.
Early self-employment losses can often be set against the employment income you were already taxed on, producing a refund, a valuable feature of the changeover year that we make sure you use.
With payments on account, the first Self Assessment payment can be around 150% of the bill. We tell you what to set aside from the start so it never comes as a shock.
We register you as self-employed, explain your new obligations, and set up simple records, so the move is smooth rather than a leap into the unknown.
Moving from PAYE catches people out because tax is no longer automatic and the first bill can be large; planning the transition, and using any early losses, is what makes it smooth.
Key Figures
How We Help
We register you as self-employed, explain your new obligations, and set up simple records so you start on the right foot.
Early self-employment losses can often be set against your recent employment income for a refund. We use the transition year to your advantage.
We tell you what to set aside for tax and explain payments on account, so your first Self Assessment bill never comes as a shock.
All the forms, calculations and correspondence handled on your behalf, so you never have to decode HMRC's rules or sit on hold.
A clear fixed fee quoted after a free call, your position explained in plain English, and never a surprise bill.
We act quickly, and where earlier years are involved we put those right too, reclaiming refunds or minimising penalties.
Moving from PAYE to self-employment catches people out because tax is no longer automatic and the first bill can be large. Planning the transition, and using any early losses, makes it smooth, which we handle.
Recent Client Outcome
Someone leaving a salaried job to start their own business was worried about how tax would work and when they would pay.
What we did. We registered them, explained Self Assessment and payments on account, set up records, and, when their first year showed a small loss, set it against their earlier employment income for a refund.
The outcome. The transition was smooth, they knew exactly what to set aside, and the loss carried back produced a refund that eased cash flow during the switch.
Planning the changeover, and using the transition-year rules, turned an anxious leap into a well-managed move.
Why People Come to Us
Questions Answered
Want us to handle this for you, end to end?
See our Self-Assessment Accountant →Free fifteen-minute call. Fixed quote within twenty-four hours. Your return filed, every expense claimed, your bill explained, and salon VAT, payroll and accounts handled if you own a salon. Same accountant, start to finish.
Or email info@yourtaxhelp.co.uk, we typically respond within two business hours.
📅 Free consultation calls available weekdays 1pm to 3pm and 7pm to 8pm. Pick a slot that suits you.