Accounting for Time: Survey

As part of our Accounting for Time campaign, we wanted to discover what contractors really feel about doing their accounts and what they wish they could do instead. We've summarised the findings below.

Seven in ten contractors stressed by managing accounts

 

• 69% of contractors say doing their own accounts causes them stress
• Their biggest worry is making costly accounting errors
• Despite their worries, fewer than one in ten use a specialist accountant

Seven in ten self-employed contractors said they are stressed out by doing their own financial accounts.

The self-employed are the fastest growing section of the UK workforce, and the survey of 359 self-employed contractors found almost three quarters (72%) do all their own accounting, with just 28% getting some help.

Only 7% employ a specialist accountant to do their accounts, while 18% employ a general accounting firm and two per cent rope in family or friends.

Of those contractors who do their own accounts, nearly seven in ten (69%) said it causes them some degree of stress.

When contractors were asked what the most stressful thing about doing their accounts is, over a third (35%) flagged worry about making mistakes, 15% the time it takes, 13% the complexity of the process and one in 20 (5%) worried about being hit with financial penalties.

These amateur accountants’ concerns appear well founded too: 17% said they had lost receipts, 11% had paid too much tax, 8% had made a late or incorrect payment to HMRC and 7% had missed a deadline to pay their taxes, which means being hit with a penalty of at least £100.

And more than a third of contractors said that doing their accounts is causing them personal problems.

One in ten (11%) said they lose sleep, 6% said it leads to arguments with family, friends or colleagues, five per cent said they have had to turn down paid work due to accounting commitments and three per cent said it has even made them ill.

Nick Rawlings, commercial director of SJD Accountancy, said: “Doing your accounts is complicated, so it’s no wonder it is causing so many contractors stress and other problems.

“It’s a growing issue too. There are currently 4.81 million self-employed people in the UK, which is up from 3.2 million five years ago, and now represents 15% of all workers.

“But it doesn’t have to be this way. Having a specialist accountant on board can free up your time to focus on what you do best, providing a first-class service for your clients and growing your business.”

It’s clearly not part of the job that they relish, with over a third (35%) describing it as a necessary evil, while one in ten (10%) said ‘I really don’t like it” and one in 20 (5%) said they ‘hate it’.

And they have far better things they could be doing with their time. Over a third (37%) would rather spend that time with their family, almost a fifth (19%) would prefer to be learning a new skill, over a sixth (17%) would rather be travelling and over a seventh (15%) would prefer socialising.

How SJD Accountancy can help 

At SJD, we're experts when it comes to contractor accounts. Our knowledgeable accountants are able to save you time by taking your accounts off your hands. For more information, or to join SJD Accountancy, you can call our best advice team on 01442 330820

Go back to the Accounting for Time page

Call Back Request

15 + 5 =
Solve this simple math problem and enter the result. E.g. for 1+3, enter 4.

Speak to a
friendly expert
01442 275789

Monday to Thursday (8am to 8pm)

Friday (8am to 7pm)

Saturday (10am to 4pm)

SJD Accountancy

SJD Accountancy are the UK's largest specialist provider of fixed fee, Limited company accountancy services to contractors; we've been acting for contractors across the UK since 1992 and have more than 15,000 clients.

We are the only national specialist firm of contractor accountants with offices nationwide. SJD Accountancy has more qualified staff than any other firm in our market with qualifications from the following major tax and accountancy bodies - ATT, AAT, CTA, ACCA, CA, ACA and FCCA.

  • Unlimited face to face meetings. This is a unique service only SJD Accountancy offers - unlimited face to face meetings across the UK - tax is complicated and sometimes only a meeting will do.
  • UK's largest contractor accountants with more qualified staff. No call centres, no outsourcing, no automated call handling. Simply telephone, email or meet your own dedicated accountant face to face.
  • Money back service guarantee. All your Emails received by 4pm on any normal working day will be answered the same day. Should it be necessary to leave a telephone message it will be answered same day/following day latest or we will make a full refund of that months fee.
  • Outstanding reputation. We have won more awards for customer service and accountancy excellence than any other firm in our market, including: Best Accountant for Contractors, Accountant of the Year and Best Professional Service Team to name just a few.
  • All inclusive low cost fixed fee accountancy package which includes completion of accounts*, payroll bureau, dividends and corporation tax computations, personal taxation, free bookkeeping software, your own dedicated accountant* and all company returns for a fixed fee starting from £120 plus VAT per month. Check our packages for more detail.

If you have any questions about contracting or would like any further advice please call our new business team on 01442 275789 or email: newbusiness@sjdaccountancy.com. Our new business team is open Monday to Thursday (8am to 8pm), Friday (8am to 7pm) and Saturday (10am to 4pm)

Appoint SJD Accountancy and never worry about your tax or accountancy affairs again.

Form your own limited company with SJD - our same day online company formation service includes company bank account set up, VAT/PAYE registration and advice on optimum share structure. 

You may also find the following pages, guides and case studies useful:

*If you would like us to complete your company year end accounts we simply ask that you have been a client of SJD for one year or have made 12 monthly payments. All accountants are part or fully qualified.