Advisory fuel rates – changes

Please note that HMRC have announced that it has changed the Advisory Fuel rates once again (this is the third change in this tax year so far).

The rates below* apply from 1 September 2015.

You can use the previous rates for up to 1 month from the date the new rates apply.

 

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 11 pence 7 pence
1401cc to 2000cc 14 pence 9 pence
Over 2000cc 21 pence 14 pence

 

Engine size Diesel – amount per mile
1600cc or less 9 pence
1601cc to 2000cc 11 pence
Over 2000cc 13 pence

 

Hybrid cars are treated as either petrol or diesel cars for this purpose.

Should you wish to speak to me or any of the team please get in touch on tellmemore@clayshawthomas.com or 01656 867167.

*Source: HM Revenue & Customs

Getting ready for University

Your son/daughter will have had their A-level results and are now looking forward to starting University in September. You, as parents, however, might be gloomily looking at your bank account and taking a rather different view.

The cost of University differs depending on where your child studies and what sort of lifestyle they lead. It is estimated that fees can be up to £9,000 and accommodation costs of around, £5,000 per year, a student starting at university this September could graduate with a debt approaching £50,000!!.

Avoiding this is probably one of your most important tasks over the coming years.

Taking on board some simple financial planning steps will allow you and your child (children) to relish in the glory of good A level results and avoid over-worrying about the possibility of financial strife later down the line.

Of course, there are the short term items that need to be bought such as a laptop or a deposit for accommodation.

Long-term saving will help you pay for these so that when they do arise, often unexpectedly, you will have the funds to pay for them without having to worry about where you will get the money from.

All is not lost. If you’ve not already started saving then there is still time to save a little each month to pay for items during years 1-3 or longer.

Don’t forget that your son or daughter can help fund their time at University too!

 

Handling money and budgeting

Explain to them about splitting their money into weeks and months and keeping a tally of their spend, maybe in a spreadsheet. It may seem onerous but they will thank you in the end. It will set them up for budgeting for things after studying, appreciating the actual value of money as well as not having spent their grant in the first week and living off baked beans for the rest of their time!

 

Bank account

Whilst they may have had a bank account for some years, it may not be the best one now they’re going to university. Shopping around may well pay dividends.

 

Work

Student holidays are long and money earned in the summer is money that doesn’t have to be borrowed – or provided by parents. There is no better job than some of the first you have in your life such as working in a bar, a coffee shop or in a shop. They will help your son/daughter build their people skills, monetary skills, customer care, give them a focus, their own money as well as building their confidence.

Should you need to talk to one of the team about long-term financial planning then please do get in touch on tracey@cstwealth.co.uk or 01656 867167. Your first meeting is at no obligation and free of charge.

 

This article is for information only and does not constitute financial advice. Please contact your usual adviser at CST Wealth Management Ltd if you have any questions relating to your own personal circumstances or if you would like to make an appointment to discuss your financial plan. Contact details can be found on our Meet the Team page or by contacting us via  info@cstwealth.co.uk or 01656 867167.

The Financial Conduct Authority does not regulate tax advice.

CST Wealth is the trading name of CST Wealth Management Ltd which is authorised and regulated by the Financial Conduct Authority.

 

Micro Entity Accounts – Is it worth it?

Most people have heard the term ‘SME’ but have you heard of an ‘ME’ or ‘Micro Entity’. If your company meets two of the following three criteria it is entitled to prepare accounts under the new Micro-Entities Regime.

 

  • Turnover is less than £632,000
  • Net assets are less than £316,000
  • Employ less than 10 staff

 

What does this mean I hear you ask? Well the regime was established in an attempt to reduce bureaucracy and cost for the UK’s smallest businesses.  Companies are now only required to prepare an abridged Profit & loss account and balance sheet with very little disclosure notes.

 

Sounds good? At face value yes, anything that makes things simpler we are all for.  However, is this the right option for you and your business?

 

In my opinion removing this fairly basic information makes the accounts less useful and may undermine peoples confidence in smaller businesses.  Lenders may request further information or may even refuse credit due to there being insufficient information available.  It is also anticipated there will be increased scrutiny from HMRC who are likely to open more enquiries due to there being fewer disclosures in the accounts. The accounts will undoubtedly look much simpler, however, the figures will primarily be the same as in a full set of accounts and therefore take much the same time to prepare.

 

Micro Entity companies can choose to still prepare and file Small Company accounts – and for some clients this will remain the best option. At CST we will give you option of preparing either full or Micro Entity accounts at no additional cost. We believe that as a business owner it is vital for you to have access to financial information that you can reliably use to make business decisions.

 

Please contact me or a member of the team if you would like to know more about Micro Entity accounts.

 

Changes at Companies House

Whilst out on my travels visiting companies, I have noticed that a lot of my clients are unaware of recent changes at Companies House.

Companies House

 

Companies House are currently testing something called “Companies House Beta”, which is a significant update to their old system, allowing users to have free access to public data about any company registered in the UK!

Their website gives you real time access to your company’s register and other companies’ registers. These can be used to inform you of information on potential customers and suppliers:

  • Company overviews
  • Current and resigned officers
  • Mortgage charge data
  • Previous company names
  • Insolvency data
  • Change registered office address

 

They also have other planned changes scheduled for the future.

Have a look on the link below and get searching!

 

https://beta.companieshouse.gov.uk/

 

Redesigned Xero app for Android

XERO has launched a redesigned version of its Touch app for Android as it seeks to meet, what Google describes as their ‘material design standards’. This means that they have created “a visual language for our users that synthesizes the classic principles of good design with the innovation and possibility of technology and science”*.

Google aims to “develop a single underlying system that allows for a unified experience”, and Xero claims its latest iteration of Touch is “simpler” and “more consistent”.

The Touch on Android features are aplenty and include:

  • a dashboard providing a summary of bank account information;
  • invoice management;
  • menu links to items such as invoices, receipts, contacts and files;
  • bank reconciliation on the go; and
  • expense and receipt management using photographs.

 

Xero for Android

 

Copyright Xero

The Android app is proving to be a very popular amongst Xero small business owners and accounting providers worldwide with more than 36% users!

It is a great tool for small business owners as they can manage their finance on the move!

It seems that Xero are doing as much as they can to ensure that their customers are happy by encouraging feedback on its use and functionality. They have, in turn, been making updates to ensure that the app is working to the best of its ability to meet customer needs.

If you are on Xero and have an Android phone or tablet then why not give the app a go?

If you are not on Xero and would like to discuss online business accounting and have a free demonstration as to how it works then please get in touch with me on lauras@clayshawthomas.com or 01656 867167 and I’ll be happy to come to your offices to discuss.

 

*Source: Google

Payroll penalties

HMRC have now announced additional details about the first in-year payroll penalties for employers with less than 50 employees on their payroll. Late reporting penalties already exist for employers who have 50 or more employees. These penalties are the result of employers missing the deadline for submitting the REAL Time Information (RTI) submissions.

The payroll late filing penalties for small employers, were originally going to be sent automatically. However, HMRC have decided to take a closer view and focus more on the persistent defaulters on a risk-assessed basis. This will continue for the 2015/2016 tax year.

This announcement follows HMRC’s decision not to penalise employers for minor delays, of up to 3 days with submitting their RTI returns.

However, employers are reminded to submit their RTI returns on or before the date of payment for their employees.

Should you have any queries about this or would like to discuss Clay Shaw Thomas conducting payroll services for your company please get in touch with me on joannes@clayshawthomas.com or 01656 867167.