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How to start freelancing — what you need to know

Freelancing is simpler to start than most people think. Here is what you actually need to do.

Register with HMRC

Register as self-employed with HMRC within 3 months of starting to earn freelance income. The registration is free and takes 15 minutes online. You will need a Government Gateway login.

Set your rate

The usual approach: take the salary you would expect as an employee, divide by 220 (working days per year), and add 30% to cover holidays, pensions, tax and the lack of employer NI contributions. Then check what the market rate actually is for your specialism.

Track from day one

Good records from the start save hours at self-assessment. Our free freelance income tracker covers invoices, payments and expenses in one monthly sheet.