What do self employed hairdressers do?

[Jwan]

Hi all

I have a friend who recently started working as a self-employed hairdresser at a local barber's shop.

He has kept track of how much money he made each day and will continue doing so in the future. But for tax purposes, how are invoices supposed to work for him? He can't take the name and address of every person that comes and gets a haircut from him.

He records his expenses fine, he asks the sellers for an invoice when he buys hair gel, new clippers ...etc.

But how is suppose to show they money he earns? If through invoices, who will his invoices be addressed to?

Any clarification would be greatly appreciated.

 

[CriticalThinker]

For this type of service your friend can use a simple receipt book which can be purchased off the shelf or personalised; preferably with a carbon duplicate (NCR) for his own records. These typically follow the same format of the 'simplified invoice' that would be used for VAT purposes where transactions are less than £250 for reference (I recognise he is unlikely to be VAT registered). Note: the simplified invoice doesn't require customer details.

As the business is more than likely made up of the majority cash transactions good practice would also mean he uses a weekly cashbook to record his daily takings and also an appointment diary (I would assume he has this already?).

With the above records he can record and reconcile the daily cash / card takings, marry it back to the receipt book and if necessary have a record of appointments in the diary.

 

[adam thompson1981]

Not a hairdresser but a window cleaner.

Quite similar in that i usually take 80-100 small transactions each week.

I simply record the days work as a whole so for example monday £200 window cleaning, tuesday £180 window cleaning etc.

lets say £1000 for the week in sales.

I then record total income received for the week (all pay online)

This all goes into my profit an loss sheet and is sent to my accountant at year end (im Ltd btw)

any shortfall on payments is put through as a loss

so in short, just record the total for each day

 

[Jwan]

Thanks guys, very helpful.