Not for Profit

That was a tough financial year…..

My annual accounts and tax calculations are now sorted, and the combination of a catastrophic loss of clients leading to a massive drop in revenue, and a huge swathe of expenses has resulted in a dramatic reduction in profits - which means I’m actually just above the threshold on which basic income tax is paid. (£12,570) That’s a nightmare for someone who has been in business for 20 years - and equates to about half of the UK minimum wage. Unbelievable - two years ago, I actually had a tax bill that was higher than the amount of profit I made last year.

There is one bit of good news - much of the income tax I paid upfront last year is now due to be refunded to me by HMRC, and I have no tax to pay in July 26 or January next year. My revenue has actually fallen again since these accounts were put together, but the ridiculous disbursements have come to a halt thankfully.

One of the benefits of being self employed within this industry is having the ability to see what’s on the horizon, and I’m pretty sure that there is a massive economic shock coming to the country very shortly. The billionaires will be fine of course, but hang on to your hats (and your jobs if possible), as things are going to crash. Companies are getting rid of staff, suppliers, and their expenditure - in an attempt to keep the bosses wealthy, and it could be your turn next.

Of course I’ll keep going as always. I was talking to a young video-maker today, and we were discussing some of the people who are doing big jobs for free - repeatedly - in an an attempt to get regular work with estate agencies. It’s a pointless exercise which devalues the industry in general, and makes it impossible for others to make a living. Just don’t do it.