How to Register as Self-Employed with HMRC: A Step-by-Step Guide
How to Register as Self-Employed with HMRC
Registering as a sole trader is the first official step in your self-employment journey. Here is a simple guide to get you sorted.
Step 1: Check if you need to register
You must register if you earned more than £1,000 from self-employment between 6th April and 5th April.
Step 2: Create a Government Gateway Account
Visit the HMRC website. If you don’t have an account, you’ll need to create one. You will need your:
- National Insurance Number
- Passport or Driving Licence (for identity verification)
Step 3: Register for Self Assessment
Once logged in, choose to "Add a tax to your account" and select Self Assessment. You’ll be asked for details about your business:
- Business Name: You can just use your own name.
- Business Description: keep it simple, e.g., "Delivery Driver" or "Freelance Copywriter".
- Start Date: The date you started your first gig.
Step 4: Wait for your UTR Number
HMRC will send you a Unique Taxpayer Reference (UTR) number by post within 10 days (or 21 days if you’re abroad). You need this number to file your tax return.
Step 5: Stay Organized
Once registered, you are responsible for keeping records of all your sales and expenses. Using a tool like GigCalc can help you stay organized throughout the year, making tax season a breeze.