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Re:Learn accounting for free by cheradenine_uk on Monday December 20, 2021 @12:33PM (#29627397)
UK based, so YMMV.

Moved from self-employed for the odd side gig, to UK LTD co, to VAT registered UK LTD co.

The "business services mafia" will like to frighten you into believing you have to drop hundreds of £ on their services - plus £120/yr for an accounts package, more for payroll, business banking, etc.

Because your mind is too tiny to comprehend the ways of the priests. e.g: Don't ever ask a question in a business forum, you'll get swamped with the clergy telling you the question implies you're definitely going to prison because you're going to get it all wrong.

Do not believe them.

It is perfectly possible - perhaps even 'easy' - and if you understand the basics of double-entry accounting, all entirely learnable without too much effort. And best of all, you can do it almost for free!

Don't drop hundreds per year on Xero, use https://www.quickfile.co.uk. Cost: £0 (upsell on receipt scanning, but I don't use that). Does VAT, with electronic submission. I literally don't understand why you'd spend money on Xero - the extent to which it's advertised over here is insane; you're just paying for TV advertising.

Payroll (and all the tax calculation): Free, for up to 3 users. https://www.shapepayroll.com

Business banking: Tide. 20p/per transaction (no monthly fees!)

The hardest parts are - discipline of entering the transactions and not letting them build up - in the UK, understanding capital allowances vs depreciation - when doing payroll how to split the payments into the correct accounts (shape does the sums, you have to account for it correctly) - Make sure you pay all your HMRC bills - Doing the year end as a micro-entity (the CT600 corporation tax return) is actually surprisingly easy, and amounts to putting numbers in about 6 boxes.

By all means pay for all of this stuff if it isn't of interest to you. For me, as I intend my co to run long after I finish working, I didn't want to have annual fees for services that I really wouldn't be getting the use out of.

Re:Learn accounting for free by xbryanx on Monday December 20, 2021 @12:56PM (#29627686)
This sounds like every interaction I've had asking a question in a plumbing/electrician forum. Oh, if you're asking that question your definitely going to poison your entire house with sewer gas and/or burn the place down with that wiring.
Re:Learn accounting for free by cheradenine_uk on Monday December 20, 2021 @01:17PM (#29627961)
It's _exactly_ like that - and I've asked a fair few questions on DIY forums and the answer is, invariably, "you should hire someone to do that".

It's even worse in the UK if you mention gas. If you so much as mention a boiler you'll be pounced on by the cartel inventing their own legislation.

Re:Learn accounting for free by tomcam on Monday December 20, 2021 @02:43PM (#29629194)
If you knew me you would understand why these warnings are necessary...
Re:Learn accounting for free by markdown on Monday December 20, 2021 @06:44PM (#29631986)
Warnings are most certainly necessary, but they should be accompanied by the actual answer, else GTFO.

It seems like these fields are filled with people who can't stand DIY and just try and get everyone to pay for professional services.

When I try and replace a burnt fuse and ask for help, I accept that I'm not a professional and might burn my house down. Just tell me the risks and how to do it. I'm not a child, and I'm not going to sue someone when I've said upfront that nobody becomes liable just because they gave me advice.

Re:Learn accounting for free by sundarurfriend on Monday December 20, 2021 @04:30PM (#29630548)
Reminds me of David Mitchell's bit/rant in Would I Lie To You: https://www.youtube.com/watch?v=mKc32jQIY0w (01:28 if you're in a hurry).
Re:Learn accounting for free by tomcam on Tuesday December 21, 2021 @10:26PM (#29645285)
That was lovely, thank you. He is an international treasure.
Re:Learn accounting for free by jsmith99 on Monday December 20, 2021 @12:44PM (#29627528)
Does it let you file directly to Companies House? The forums imply you have to hire an accountant to do that.
Re:Learn accounting for free by cheradenine_uk on Monday December 20, 2021 @12:49PM (#29627597)
You can go 2 ways, neither of which are hard.

You can file your accounts (which are trivial for a micro entity) directly with Companies house, or, when you do your CT600 corporation tax return (which is the 6 or so numbers) there's a checkbox marked "also file to companies house".

You absolutely do not need an accountant.

You also get a great deal of time (extra on your first year) between year-end and when you have to submit, so there is no panic.

Re:Learn accounting for free by newusertoday on Tuesday December 21, 2021 @02:57AM (#29635053)
Thanks for this, i was about to decide on xero but after seeing this comment i will give quickfile/shapepayroll a try. I am under 85000 so don't need to register for vat yet. This would be my first year of filing so any other tips are also welcome :-)
Re:Learn accounting for free by scooble on Monday December 20, 2021 @06:08PM (#29631695)
For a business account, Metro bank has no monthly charge if your balance stays above £6000, and only charges for some types of transactions (none of which I've used in the 6 years MyCo has been active).