So you've found your first contract and formed your limited company . . . what next? Well, you may want to consider appointing an accountant.
Whether you are new to contracting or an experienced contractor looking to switch accountants finding the right accountant can save you time, money and a whole lot of headaches, so it is well worth taking the time to get it right.
What type of accountancy firm should I choose?
You could just go to a standard high street accountant, who will typically charge a fixed fee for completing your yearend accounts. However, you may have questions throughout the year - especially if you are new to contracting – such as "can I expense my phone bill?” and "how much can I take out of my company without incurring further tax?” High street accountants will typically charge additional fees each time you contact them.
As an alternative to standard high street accountancy firms you could opt for a fixed fee accountancy package, which will provide ongoing support. The benefit of this option is that they will handle your tax affairs throughout the year, are on hand to answer questions when needed and the accountancy fees are spread out over the year.
What should I look out for when choosing a contractor accountant?
Not all accountancy firms are the same so it is worth doing your homework. Below are some of the factors that you may want to consider when choosing your accountant.
- Do they specialise in the contractor market?
- Are they an accredited firm by a respected accountancy body?
- Will you have your own dedicated accountant, or will you be passed around from accountant to accountant?
- Do they provide a company formation service free of charge?
- Can you leave with no penalty or are you committed to 12 months or more?
- Where is the firm based?
- If you were to change accountants will they transfer your accounts and paperwork with no extra charge?
- What input do they expect from you?
What can an accountant do for me?
The right accountant will not only provide valuable tax saving advice, but give you piece of mind that your limited company is being administered in the correct way. Figures and accounts are not everyone’s forte so see below for more of the ways that an accountant can help you.
- Advise you on the most tax efficient way to structure your company
- Provide ongoing advice and tax planning opportunities
- Help you claim on a wide range of expenses
- Complete your year end accounts
- Deal with Companies House and HM Revenue and Customs on your behalf
- Ongoing bookkeeping
- VAT calculations
- Deadline reminders
How can Nixon Williams help me?
Nixon Williams are one of the UK’s leading accountancy firms specialising in the contractor market. Our fixed fee accountancy package is tailored to the needs of contractors, consultants, freelancers and locums and includes unlimited access to your own dedicated Account Controller. We believe that our clients have more important things to be doing than pouring over accounts and VAT returns. Investing in bespoke online accounting systems has allowed us to handle our client’s accounts securely and efficiently without compromising on service.
Our all-inclusive, fixed fee, Premier Service is priced at just £95 a month and includes:
- Limited company formation, which includes registering your business for VAT, PAYE, corporation or business tax, the Flat Rate VAT Scheme and assistance opening a business bank account.
- Unlimited direct telephone and email access to your own dedicated Account Controller. We aim to respond to any questions or queries as soon as we can, usually the same day.
- Ongoing bookkeeping, correspondence with HMRC and Companies House, VAT and PAYE returns and payments, yearend accounts and a personal tax return for one director.
For more information on the service that Nixon Williams provides please visit our Premier Service page or contact a member of our New Business team on 01253 804921.
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Why Choose Nixon Williams?
At Nixon Williams our aim is to assist in making your contracting life easier by removing the stress normally associated with accounting, taxation and other financial issues experienced by contractors.
Each of our clients are provided with a single point of contact that will be on hand to assist with any accountancy or tax related queries.