People are classed as self employed when they are not working for an employer but working for themselves. Self employed people either work as independent contractors of make money through their own business. There are many reasons why the law benefits self employed individuals. A recent case would be the change to European Union legislation in 2012, the EU gave self-employed workers and their partners legal rights to maternity leave and also gave them some pension rights for the first time. One of the biggest legal benefits of working for yourself is the money you can save when it comes to taxes. Self employed people often find that they can reduce their tax bill and also turn their normal expenses in to tax deductible expenses. One thing that all self employed people will need is sound legal advice, using a suitable personal solicitor is strongly advised. A tax professional will be able to explain everything thoroughly and help you to save money. Here are some great ways that you can legally save money on your tax returns each year.
If you are self employed then you are able to deduct a lot of expenses from your tax, things such as a home office, health insurance, food and entertainment, communications, car and travel can all be deducted. Overall you can find yourself saving a lot of money, the money that you can save may lead you to retire earlier than planned. Of course, it is not all straightforward and you will need to do your research before deciding what expenses you can put down as business related. If you are in any doubt then you should not list them as a business expense, if the tax man goes through your accounts thoroughly and finds any mistakes then you will be left with a hefty fine. This is why it is always a great idea to consult with a solicitor before making any decision, paying for advice could end up saving you a lot of money in the long run.
The other benefits that are on offer to you come from the state. The benefits depend on certain criteria such as age, hours worked each week, earnings, number of children and if you have a disability or illness. The benefits that are available include; working tax credits, council tax support, child benefits, pension credits, income support and support with mortgage interest. Depending on your situation you are legally entitled to these benefits. To get a better idea of what you are entitled to you should look at the relevant government website, then you should consult a solicitor if you are unsure about any points.