Invoices

Task 3 

So I know what you're thinking, having a CV that's great, but what if you don't want to work for 'the man', well I hear ya and it looks like your going freelance...... Apart from bags of skill and bags of make-up let's take a look at the boring stuff you need to be a freelance.

The first thing you're going to need to do is register as self employed. You need to do this as soon as you can as avoiding it can leave to a penalty, you can let HM Revenue and Customs know that you are self employed by registering on-line at https://www.gov.uk/new-business-register-for-tax  which will take you through step by step.  This will make sure you pay the right income tax and national insurance when it comes to your self assessment tax return.

Once you have registered you’ll receive a letter from HM Revenue and Customs at the beginning of the financial year (Usually in April or May)  The letter will explain that you need to send a tax return. luckily you can do this on-line and there is a lot of help you can find on https://www.gov.uk.

In order to make sure you are taxed properly you're going to need to keep a good accurate records of your income and outgoings that can be easily read by HM Revenue and Customs if they ask to see them. This means you should always keep proof such as receipts for goods, bank statements  and invoices.

So what is an invoice?

An invoices is a bill that you must give to a customer by law when you have sold them a product or service. this is not the same as a receipt, a receipt  is simply an acknowledgement of payment, an invoice tells the customer how much and when they need to pay you.

When you design your invoice remember it must clearly state Invoice on it and contain the following information:

• An invoice number, each invoice should have a unique number this is so that you can identify them easily.
• Your name, Your company name, address and contact information
• The name and address of the customer you’re invoicing
• A clear description of what you’re charging for
• the date the goods or service were provided
• The date of the invoice
• The total amount owed                                                                            
• VAT amount if applicable   You only need to apply for VAT if: your VAT taxable turnover is more than £81,000 
• A section to clearly outline payment terms, if you want to be paid within so many days you need to state this

You can also find templates on-line or can pay people to design forms for you.  Invoices are simple enough though that you could start one from scratch in excel or word, if you are struggling and need a free helping hand , you can find a variety of professional looking templates through Microsoft word or excel, that you can customize to suit.

Apps are also available to download to do your invoice on, I found invoice 2 go through a message board It allows you to create invoices from your phone, tablet or computer and also syncs them across your devices.  meaning you can invoice on the go and access that same invoice later on a laptop or computer. As well as how to pay it can include a paypal link. The app  then records information and displays who has paid there invoices and who still owes you money in charts and reports to easily track your money. 

I think is enough for one post! I don't want to share my invoice form yet until i have my logo ready to put on it so that everything links together,  but when its ready i will be sure to post it here.