3 Reasons You Should Hire An Accountant As A Freelancer

3 Reasons You Should Hire An Accountant As A Freelancer

With the ever changing laws around business tax obligations, it’s now more important than ever to hire an accountant for all your financial needs, especially if you work on a freelance basis. This is because alongside juggling the many other exciting areas of your business, you’ll also be responsible for the tedious tasks, such as filing your tax returns. Here’s why you should consider hiring an accountant as a freelancer:

Meet your filing requirements

The first and foremost reason for hiring an accountant as a freelancer is so that you can ease your burden in terms of your responsibilities around tax filing and financial reporting. The right accountant will provide you with a high quality service without needing constant supervision to meet the demands of your business. Furthermore, this will also allow you to use your valuable time and resources in other areas of your business, instead of focusing on managing tax paperwork and meeting deadlines.

It’s no doubt that understanding the legal jargon and processes around accounting practices can be very time consuming, so hiring an accountant for this is extremely useful for reassurance and reliability in ensuring that your tax liabilities are correct in line with HMRC guidelines and deadlines are met to avoid penalties.

Acquire high quality knowledge and expertise

When hiring an accountant to support you in fulfilling your financial responsibilities, you’ll also be able to gain specific advice and assistance in regards to your role as a freelancer. Therefore, it’s particularly important to hire someone who offers freelancer accountancy services, as they will be more accustomed to the legal and financial obligations of working on a freelance basis and be able to aid you accordingly.

Furthermore, as this area of accountancy is particularly niche, you’ll need an accountant who can manage personal tax claims, corporate tax payments, VAT, business expenses and payroll activity (if you choose to hire someone) as well as tasks relating to insurance, IR35 rules and invoice guidelines. This will ensure that they are handling your business finances correctly and in accordance with the law, so that you do not get into hot waters with HMRC down the line!

Grow your business and maximise profits

With the right accountant, not only will they enable you to fulfil your financial responsibilities with ease, but they’ll also be able to aid you with projecting your future finances and maintain the forecast of your books. This will give you the opportunity to scale up your business further and increase your profits.

One of the main ways in which to do this is by identifying the expenses you can claim for your business so that you can further reduce the amount of tax you are liable to pay on your income. However, ensuring that you are claiming allowable expenses, as outlined by HMRC, is essential to prevent future discrepancies and large tax bills, so it’s important to hire an accountant for this reason. An accountant can also select the most appropriate VAT scheme for you and advise you on operation decisions, so that your business is functioning through the best possible classification in order to ensure business growth.

If you’re a freelancer, there’s never been a better time to hire an accountant for your financial needs!

Until next time.

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