Guide to accounting for the self-employed

Cashmanager | 8 years ago

Being self-employed can be a great option for many New Zealanders, offering freedom and control of your career that you simply won't often get from working for someone else. Just getting in there and figuring things out is part of our cultural identity, and some people are uncannily able to bring that spirit to their working life.

In fact, the 2013 census found that just over 15 per cent of New Zealanders reported at least part of their income being generated from self-employment. That's a significant proportion of the population who are getting their job done without the input of others.

With that said, being self-employed also carries a large amount of responsibility. Maintaining sole control over your business usually means all of the investment capital is also self-generated, and you may even wish to oversee all of your accounting and financial obligations yourself as well. If you want to eliminate as much stress as possible from this process, making sure you have the right business accounting software is vital.

What do self-employed people need to account for?

While being self-employed means you likely don't have to worry about business expenses like salary for other employees, you are going to be responsible for keeping track of how much tax you owe on your personal income. Depending on how much you earn, you may have to pay provisional tax at various times throughout the year, or else pay income tax when you file your annual tax return. That's why it's important you have a solution in place at all times to easily keep track of your financial affairs. 

CashManager small business accounting software makes managing your accounts a snap, with simple click-of-a-button reporting helping to make sure you know precisely what's happening with your finances. As a self-employed person, it's all you need to keep on top of where your money is coming from and going to. 

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