Invoicing My Friend

[Chasingcars]

I have been helping my friend with some Excel help. Creating spreadsheets for her work and odd bits like that.
She has asked if this time I send her an invoice as she doesn't expect me to work for free, but really I would never think to charge her being a friend, plus it doesn't take me long.
Anyway, she is insistent as she said there is more work she may need help with so firstly, can I create an invoice even if I don't have my own company? and if I get paid, do I declare this again eve if I not registered as self employed? Or is it worth setting up my own company ?

[andy-hughes]

If this is a one-off for your friend, then it is extremely unlikely that the Inland Revenue will even find you in terms of tax liability for something as minor as this, so you can invoice your friend and not declare your earnings.

If however, this is going to be a regular thing, and the monies are beyond simple 'helping a friend' level, then you should think about self-employment status.

However to make the time end effort of self-employment and competing a tax return, you need to be earning significant amounts - and from your post it sounds like you are not at that level.

I'd invoice your friend, and bank the money and not worry about it.

[bednobs]

i think you are stepping into a minefield - does she need an invoice for her work puposes? If not i would just ask for cash, or favours in kind. How much extra work is she planning to ask you to do? If it's going to be regular and substantial, it might be woth registering (or if you are going to offer your services to other people)

[ladybirder]

Do you earn any other money? If not will this money earned be over the basic tax allowance?

[Peter Pedant]

No you are not stepping into a minefield
( altho it might be a nice little earner )
havent been able to log on to Ab for most of the day

send an invoice on - well anything down to lavatory paper
whenever I had over money I demand a receipt - and around 50% are on backs of envelopes.

John Smith to Jane Brown of The Shope Anyville
5 Dec 16 software work done £15

[ it is customary not to sign the invoice]

she may wish to have a receipt - you just sign the invoice then "paid on xy Dec 2016 with thx"

spend

from today you have until 31 Dec 2017 to decide whether to declare is as income to the taxman ( yup a year and not for three weeks )

depending on the amount you do or you dont

if you do
You download SE1 from the tax man little website and fill it out
and send it in and then depending on your tax charge - send in 20% or 40%

and no you dont have to be a company
nor the other thing you said

you just do it.

I am not sure how you register to be self employed
I am ( self emloyed ) and I just sort of pay the tax due ....

[Chasingcars]

Thanks all for your advice.
To answer some of the other questions, she has asked for an invoice. Its only small bits of work but may become more regular. Shes not great on excel and I can update worksheets for her as and when.
I do work already - 2.5 days a week and obviously taxed accordingly already so this work for my friend would be additional income albeit small amounts.
I had recently looked into PA/ Admin work from home (Virtual PA) for when my little girl starts school this could work quite well and doing work for my friend may be a small step into Admin kind of work that I can do.
Also, to be honest I wouldn't really know what to charge my friend if I did invoice her!