Hi,
Long time reader and occasional poster. Please excuse my English as I'm a foreigner.
I'm currently PAYE worker in IT (52k). I have a potential to earn 600€/day as a contractor for the same job/position. Contracts should be 12/18 months renewable.
I am seriously thinking to start working as a freelance as it will boost my income. In my opinion risk is quite low as I only need a room with a computer and a desk as assets.
Now I have the following questions:
I know that I should obtain professional advice from a reputable accountant or tax advisor before I start my business but I would like to have AAM contributors' opinion before.
Thanks in advance for your help.
Springers
Long time reader and occasional poster. Please excuse my English as I'm a foreigner.
I'm currently PAYE worker in IT (52k). I have a potential to earn 600€/day as a contractor for the same job/position. Contracts should be 12/18 months renewable.
I am seriously thinking to start working as a freelance as it will boost my income. In my opinion risk is quite low as I only need a room with a computer and a desk as assets.
Now I have the following questions:
- My client will be based in a EU country, is there a chance to create a limited company?
- If so, in terms of income which one between sole trader and limited company would be more beneficial?
- My main goal would be to retire early. Pension is also an important point in the equation. I have a DC scheme with my current employer (my contribution:6%, employer contribution:8%). In terms of pension, which one between sole trader and limited company would be more beneficial? is there a limit in terms of contribution?
I know that I should obtain professional advice from a reputable accountant or tax advisor before I start my business but I would like to have AAM contributors' opinion before.
Thanks in advance for your help.
Springers