F The Hours

Self Assessment guide for UK freelancers

A plain-English walk through the Self Assessment process for sole traders and freelancers, with the dates that matter.

This is a general guide, not tax advice. If your situation is complex, for example a limited company, rental income or foreign earnings, speak to a qualified accountant.

The seven steps

  1. 01

    Register with HMRC

    If this is your first year self-employed, register for Self Assessment by 5 October following the end of the tax year. You will get a Unique Taxpayer Reference (UTR) by post. Keep it safe.

  2. 02

    Gather your records

    Pull together every invoice you issued, every business expense receipt, mileage logs, bank statements and any other income, such as interest, dividends or an employment P60.

  3. 03

    Calculate your turnover

    Total up all the invoices you issued for work done in the tax year, 6 April to 5 April. This is your gross self-employment income, box 9 on the SA103S.

  4. 04

    Add up allowable expenses

    Only costs that are wholly and exclusively for the business count: materials, software, travel, mileage at the approved rates, a fair share of home office costs, professional fees. Keep receipts for six years.

  5. 05

    Work out your net profit

    Turnover minus allowable expenses is your net profit. This is what gets taxed.

  6. 06

    Calculate the tax owed

    The personal allowance, £12,570 for 2025/26, is tax free. Above it you pay 20 percent at the basic rate, 40 percent at the higher rate and 45 percent at the additional rate, plus Class 4 National Insurance. Class 2 is voluntary above the small profits threshold. Student loan repayments apply if you have one. The free tax calculator works it out for your own profit.

  7. 07

    File and pay by 31 January

    Submit online and pay any tax owed by 31 January after the tax year ends. If you owe more than £1,000 you also make payments on account: half of next year’s estimated bill, in advance.

Key dates

DateWhatWho
5 OctoberRegister for Self AssessmentIf it is your first year
31 OctoberPaper return deadlineIf you file on paper
31 JanuaryOnline return and paymentFile online and pay the tax owed
31 JulySecond payment on accountIf payments on account apply

Common allowable expenses

  • Office supplies and stationery
  • Business software subscriptions
  • Phone and broadband, the business share
  • Mileage at the HMRC approved rates
  • Accountancy fees
  • Professional indemnity insurance
  • Marketing and advertising
  • Bank charges on business accounts
  • Training that maintains existing skills
  • Home office flat rate or a proportion of costs
F The Hours fills in the SA103S boxes from your logged income, expenses, mileage and home office allowance, so in January you copy the numbers across instead of starting from scratch. See what you get