Firstly, are you a trades person? A self-employed Plumber, builder, Central heating engineer, similarly a plasterer, painter and decorator or electrician? Secondly, Do you use the services of sub-contractors? Thirdly, do you run your business as a limited company? Vat registered? If you answered yes, then the finance function within your business needs all of the following tasks performing on a weekly/monthly basis
- Production of weekly/monthly CIS deductions certificates for sub-contractors. This should detail the amount sub-contractors have invoiced you plus vat and materials used. Taken from this will be 20% income tax on the gross labour. Paid to HMRC on behalf of sub-contractors.
- Monthly Construction Industry Scheme returns produced and in addition sent to HMRC.
- Weekly/monthly payroll run for each employee and includes sending in RTI submissions to HMRC every time staff is paid.
- Paying staff and subcontractors
- Paying Tax and National Insurance to HMRC each month on behalf of staff and sub-contractors.
- The monthly supplier payment run which involves paying all of your suppliers monthly statements after the statements have been checked to invoices to ensure none are missing.
- Chasing up of monies owed to you from customers
- Entering of sales and purchase invoices onto your bookkeeping system (Sage, Xero).
- Ensuring all receipts and payments flowing in and out of the banks current account, company credit card and petty cash are entered onto the bookkeeping system. The bank accounts are reconciled every month.
- Producing/maintaining a fixed asset register for items of Plant and Machinery, equipment and motor vehicles used in the business. Calculating depreciation on these items on a monthly basis.
- Production and submission to HMRC of quarterly vat returns along with payment to HMRC
- Production of monthly management accounts (Profit and Loss Account, Balance Sheet and Cash Flow Forecast).
Not What You Signed Up For?
As trades persons, plumbers, builders, plasterers, joiners, electricians or central heating engineers I think it’s fair to say. This isn’t what you signed up for. Your job is preparing quotes for new customer enquiries or being out there installing or servicing boilers, doing building work and getting new jobs in from potential customers. Lots of trades people get a headache running their accounts side of business. constantly worrying about VAT returns or incurring HMRC penalties. It can be a real stress or source of worry. It takes time away from you working on the customer side of your business and bringing cash in.
Lots of trades people get a headache running their accounts side of business. constantly worrying about VAT returns or incurring HMRC penalties. It can be a real stress or source of worry.
How Can Millhouses Accountancy Help?
Here at Millhouses Accountancy we have been looking after the entire finance section for businesses such as yours for many years and have performed all of the above tasks over and over again. We know the accounting side of your business inside out and back to front.
How Can I Contact Millhouses Accountancy?
If you are looking for someone to look after this side of your business call Sheffield 0114 3450960, Nottingham 0115 882 0356 or London 0203 146 4808. Alternatively email firstname.lastname@example.org for a chat as to how we can help you and your business.
In addition to this article, you can read more on our blog – Why is bookkeeping important?