Am I employed, self-employed or both?

Updated on 9 September 2020

Migrants

Whether you are employed or self-employed depends on the facts. It is important for you to understand whether you are an employee or self-employed. If a business offers you work and does not operate Pay As You Earn (PAYE) because it decides that you are self-employed, but HMRC later disagree with this, then typically HMRC should chase the business first. But they could come after you too, if they think that you colluded with the business in the failure to operate PAYE.

Image of a man standing in between the words employee and self-employed
(c) Shutterstock / Brasil Creativo

Am I an employee?

To find information to help you decide whether you are an employee, including a list of factors that indicate employment, look at Am I employed, self-employed, both or neither? in the self-employment section.

Am I self-employed?

To find information to help you decide whether or not you are self-employed, including a list of factors that point towards self-employment, look at Am I employed, self-employed, both or neither? in the self-employment section.

What if some factors point to employment and some to self-employment?

It is important to note that no single factor is decisive. It is possible that some factors will point to employment and others will point to being self-employed. In this instance, the overall position must be considered.

For more information, look at Am I employed, self-employed, both or neither? in the self-employment section.

Can I be employed and self-employed at the same time?

Yes, it is possible to be both employed and self-employed at the same time if you have two different jobs. For example, if you work for yourself as a hairdresser during the day (self-employed) but in the evening you work as a receptionist in a hotel (employed).

More information on self-employment
Am I employed, self-employed or neither?

What tax allowances am I entitled to?

How do I register for tax and National Insurance?

What is the trading allowance?

What business records should I keep?

How do I pay tax on self-employed income?

Working out profits, losses and capital allowances

What National Insurance do I pay if I am self-employed?

How do I work out my taxable profits?

What is the Construction Industry Scheme (CIS)?

How do I prepare my accounts?

How do I work out my profits for universal credit?

What business expenses are allowable?

Do I have to pay VAT if I am self-employed?

Can I claim for pre-trade expenses?

What is Making Tax Digital for VAT?

What capital allowances can I claim?

Pensions and self-employment

What if I make a loss?

How do I repay my student loan if I am self-employed?

When do I make Self Assessment payments and file my tax return?

Penalties and enquiries

Share this page