The Budget March 2020 – Any Big Changes?
CEST Tool: How To Use It To Determine Worker Status
Did you know that from 6 April 2020 the off-payroll working rules are extended? Under the new rules, medium and large private sector organisations engaging workers providing their services through an intermediary, such as a personal service company, must determine the status of the worker if the services were provided direct to the end client rather than via the intermediary. If, ignoring the intermediary, the worker would be an employee, the off-payroll working rules apply. HMRC’s Check Employment Status for Tax (CEST) tool can be used to fulfil the requirement to make a status determination. This tool was updated in November 2019 in preparation for the extension. And on 7 January 2020, the Government announced they were reviewing the rules to facilitate a smooth implementation. As part of the review, they will evaluate the effectiveness of the enhanced CEST tool, available on the Gov.uk website.
What is CEST?
CEST – Check Employment Status for Tax – a tool created by HMRC, can be used to determine whether, for a particular contract, the off-payroll working rules apply. It can also be used to ascertain whether, for a particular piece of work, a worker is employed or self-employed. If you are a medium or large private sector organisation which uses workers who provide their services through an intermediary, such as a personal service company, you can use CEST to meet your obligation to undertake a status determination, under the off-payroll working rules as they apply from 6 April 2020. You must give the worker a copy of the determination, together with reasons for reaching it. Printing off the CEST decision will tick this box. Although using the CEST tool to make your status determination is not compulsory, it is advised. Not least because HMRC will accept the decision reached by the tool, as long as the information entered is correct.
Using CEST
In case you’re wondering, the tool works by asking a series of questions, the answers to which are used to determine the status of the worker. The CEST tool can be used anonymously. However, please bear in mind that there is no facility to save any of your answers and return to them later. Plus if you close the tool before your determination is complete, your answers will be lost. It will also time out if you leave it idle for 15 minutes. We therefore advise you to ensure you have all the relevant information to hand before starting your determination. Your starting point is the contract of employment. The tool assumes that a contract is in place – this highlights the significance of mutuality of obligation, as without mutuality of obligation, there can be no contract. To use the CEST tool, you will need the following information:
• Details of the contract
• The responsibilities of the worker
• Who decides what work needs doing, when and where
• How the worker is paid
• Whether the engagement includes any corporate benefits or reimbursement of expenses
It is then simply a case of you working through the question and selecting the best match answer from the available options. Once you have answered all the questions, you are then given the option of reviewing the answers selected, before the decision is given.
The decision
The CEST tool will use the information you provided in response to the questions, to give you one of the following outcomes:
• Off-payroll working rules (IR35) do not apply
• Off-payroll working rules (IR35) apply
• Unable to make a determination (for whether the off-payroll working rules apply)
• Self-employed for tax purposes for this work
• Employed for tax purposes for this work
• Unable to make a determination (for employed or self-employed for tax purposes).
It will also set out the reasons for the decision reached.
Use of the tool by a worker
If you are a worker providing your services through a personal service company or other intermediary, you can also use the CEST tool to check your status. From 6 April 2020 onwards, you can use it to check a determination given to you be an end client (a medium or large private sector organisation); and if you disagree with the determination given, the CEST decision can be used as the basis for a challenge. Prior to 6 April 2020, and on or after that date where the end client is small private sector organisation, you can use the CEST tool to see if you need to operate the IR35 rules.
Detailed guidance
HMRC produced detailed guidance on using the CEST tool, which can be found in their Employment Status Manual. Check this out before using the CEST tool. The whole area of IR35 and employment status is an area of constantly changing legislation and case law. Remember we’re always here to help you to safely navigate your way through the employment tax minefield.
Digitaccs can help you make sense out of the Budget and help your business succeed. To find out how, please contact us now 020 3367 1108.
Budget Day: What Are The Announcements To Listen Out For?
Budget Day Is Now 11 March
We know that the December General Election meant that the Autumn Budget was delayed and we now know that Sajid Javid was going to deliver his first Budget on the second Wednesday in March which is when Budget day used to be! Rishi Sunak, his successor will now be looking to deliver his very first Budget on that same day. We are expecting that the tax measures in the Conservative Party manifesto will be announced again, together with confirmation that changes consulted on last year will be put in place. Key tax announcements to listen out for, include leaving the rate of corporation tax at 19% and an increase in the national insurance threshold. Unfortunately, it is unlikely that the planned roll out of the “off-payroll” working (IR35) rules to the private sector will be delayed. The Chancellor is also expected to again announce a u-turn on the 2019 loan charge, following a review of the legislation by Sir Amyas Morse.
The Budget: Review Of Off-Payroll Working Rules
In January the government launched a four-week review of the changes to IR35 “off-payroll” working rules scheduled to come into force in April, as the result of mounting criticism about the way they will operate. The review is scheduled to conclude by mid-February and will see the government hold a series of meetings with stakeholders representative of those affected by the changes. It is unlikely that there will be a significant U-turn, but there may be scope for the impact of the legislation to be reduced in terms of the range of contractors to whom it will apply, or the size of businesses who will be obliged to operate it. The new rules are currently scheduled to apply to large and medium-sized businesses as defined by the Companies Act. The government will also carry out a further review of the enhanced CEST tool designed to assist businesses in checking employment status and public sector bodies’ experience of applying the rules since 2017.
The Budget: Changes To Disguised Remuneration Loan Charge
The independent loan charge review, conducted by Sir Amyas Morse, was published on 20 December, having been delayed due to the general election. The loan charge was introduced to collect tax from individuals who had benefited from schemes devised to avoid PAYE and national insurance. The date that the loan was made to the individual is critical in determining whether the loan charge will apply. The major change, which will be legislated in the next Finance Act, is that taxpayers who took loans before 9 December 2010 will not now be subject to the loan charge. This was the day when draft legislation was published, alongside a ministerial statement, to make it clear that disguised remuneration arrangements, including loans, would be specifically taxed as earned income. The current legislation, introduced in 2018, applies retrospectively to such loans and will need to be repealed. Those taxpayers who took loans between 10 December 2010 and 5 April 2016 and who fully disclosed the use of the loan scheme will not be subject to the loan charge if, and only if, HMRC failed to take action because of disclosure. Loans taken out on or after 6 April 2016 and which were still outstanding on 5 April 2019, remain within the loan charge. Such taxpayers can now elect to spread the tax charge over three tax years from 2018/19 to 2020/21.
The Budget: Possible U-Turn On Pensions For High Earners?
There have been many stories in the press about GPs and senior hospital doctors refusing to take on extra shifts and additional responsibilities, due to the additional tax they are required to pay, on the extra pension contributions paid by the NHS. A number of solutions have been put forward. There are now strong rumours that the tapering of the annual pension allowance, for those with income over £150,000, may be abolished or amended for all taxpayers, not just those working in the NHS. Listen out for a possible announcement in the Spring Budget, together with other changes to pension tax relief.
The Budget: Changes To Paying CGT On Residential Property From 6 April
From 6 April 2020, there is a major change in the reporting and payment of CGT on residential property disposals. From that date, it will be necessary to report the disposal of the property, within 30 days of completion of the disposal and pay CGT on account to HMRC. This will be a significant acceleration of the payment date as CGT is currently payable with income tax on 31 January, following the end of the tax year. Hence, where completion of a property disposal takes place on 1 April 2020 CGT will be due 31 January 2021. If however, completion were delayed to 1 May 2020, CGT would need to be paid on 31 May 2020. Note that the new 30 day reporting and payment obligation will not apply where no tax is payable such as the disposal of the taxpayers private residence.
Another Reason To Sell Property Before 6 April 2020
If the draft legislation issued for consultation last year is enacted in the next Finance Act, there will be important changes to private residence relief for disposals after 5 April 2020.
Firstly, the exemption for the final period of ownership will be reduced from 18 to 9 months. This applies where a former main residence is disposed of and is intended to give relief where the owner has moved to another main residence, until the former residence is sold i.e. “bridging”. Note that for many years this additional allowance was 36 months that led to a tax planning strategy, referred to as “second home flipping” which HMRC are seeking to counteract. The second change will be the abolition of letting relief, except for situations where the taxpayer lives with the tenant. This generous relief currently provides an exemption of up to £40,000 per owner where the former main residence is rented out. As a result of these two proposed changes you might want to consider disposing of a property before 6 April 2020, if you were planning to take advantage of these CGT reliefs.
Will Inheritance Tax Be Simplified?
Another announcement to listen out for in the Spring Budget is whether the Chancellor acts on the recommendations of the Office of Tax Simplification (OTS), regarding inheritance tax (IHT). As reported in an earlier newsletter, the OTS suggested simplifying IHT on lifetime gifts, including reducing the period of potential exemption from 7 to 5 years. Such a change would mean that the donor would only be required to survive for 5 years, following a gift for the transfer to be exempt from IHT. The OTS also suggested that the conditions for Business Property Relief might be tightened up by aligning the rules with the definition of a trading company for CGT. This relief currently provides 100% relief on the transfer of shares in an unquoted company. The suggested change would mean that more transfers of shares would potentially be liable to IHT, and may require a careful review of your plans if you are looking to pass on your business.
Don’t Be Late In Paying Your Personal Tax Bill
Individual’s 2018/19 income tax, CGT, class 2 and 4 NIC liabilities should have been paid by 31 January 2020. Note that if the balance is still unpaid at the end of February 2020, a 5% surcharge penalty is added in addition to the normal interest charge, unless a time to pay arrangement has been agreed with HMRC.
Digitaccs can help you make sense out of the Budget and help your business succeed. To find out how, please contact us now 020 3367 1108.
Struggling to pay your tax? Set up a time-to-pay agreement!
Struggling to pay your tax? Set up a time-to-pay agreement
Your self-assessment tax return for 2018/19 must be filed by midnight on 31 January 2020, and you must pay any tax still owed for 2018/19 by the same time, along with the first payment on account of the 2019/20 tax liability. If you are struggling to pay your tax bill, you should not ignore it in the hope it goes away. Rather, you could consider setting up a time-to-pay agreement, allowing you to spread your tax bill, over a number of months.
Pay your tax with a time-to-pay agreement
A time-to-pay agreement is simply a payment plan to allow you to pay a tax bill in instalments. Ideally, you should set it up before the date the payment is due. You can consider this for all taxes, not just those due under self-assessment.
How to set one up?
To set up a time-to-pay agreement, you will need to call HMRC’s Payment Support Service on 0300 200 3835.
Information you will need
When calling HMRC, you will need to tell them:
- Your 10-digit unique taxpayer reference
- The amount of the tax bill you are struggling to pay and why
- What action you have taken to try and get the money to pay the bill
- How much you can pay now and how long you will need to pay the balance; and
- Your bank account details
HMRC will usually ask for information about your income and expenditure, your assets and what you are planning to do to get your tax payments up to date.
Paying in instalments
HMRC will only allow payment to be made in instalments if they think you are genuinely unable to pay the bill on time, but will be able to do so in future. You must make payments under an instalment plan, by direct debit on agreed dates. You will be charged interest on tax paid, after the due date.
Missed the self-assessment deadline?
If you have already missed the self-assessment payment deadline, you should call HMRC’s Self Assessment Payment Helpline on 0300 200 3822, in the first instance, rather than the Payment Support Service.
Digitaccs can help you make sense out of filing tax returns and help your business succeed. To find out how, please contact us now 020 3367 1108.
How Will Property Taxation Affect You in 2020?
2017 Income Tax – Restriction of finance costs for individual property landlords
Did you know that in his 2015 post-election summer Budget, George Osborne informed residential landlords that from April 2017 their ability to claim higher rate tax relief for finance costs was to be withdrawn over a four year period, as follows:
- April 2017 the deduction from property income will be restricted to 75% of finance costs, with the remaining 25% available as a basic rate tax reduction.
- April 2018 the deduction from property income will be restricted to 50% of finance costs, with the other 50% available as a basic rate tax reduction.
- April 2019 the deduction from property income will be restricted to 25% of finance costs, with the other 75% available as a basic rate tax reduction.
- April 2020 all financing costs incurred by a landlord will be given as a basic rate tax reduction.
From April 2020, if you are a residential property (not holiday lets) landlord, you will only receive basic rate tax relief on finance costs.
2019 Extension to Non-resident Capital Gains Tax
Since the start of the current tax year (6 April 2019), if you are a non-resident landlord, you would have been required to complete a separate online non-resident Capital Gains Tax return for each property disposal. Including, a computation of gains and losses. Please note that different rules apply for those who are temporarily non-resident and make disposals during a tax year when you were either not resident in the UK or overseas as part of a split year. In addition, corporation tax rather than CGT is now chargeable on chargeable gains linked to UK property or land for all non-resident companies. Non-Resident Capital Gains Tax (NRCGT) is also potentially payable by all non-resident landlords, as the ATED-related gains charge was abolished from 6 April 2019. It now applies to gains arising from the disposal of any type of UK land or property which accrue from 5 April 2015 (residential property) or 5 April 2019 (non-residential property).
2020 Further Capital Gains Tax Restrictions – Coming soon (April 2020)
And did you also know that, as part of his 2018 Budget, the then Chancellor Philip Hammond announced his intention to restrict the Private Residence Relief (PRR) rules from 6 April 2020, by cutting the last period of ownership from 18 months to just 9 months. Please note that, as with the 2014 change, the 36-month exemption period is to be retained for owners with a disability or who are in residential care. As if that wasn’t enough, he also announced that lettings relief (see below) is to be restricted to owners who share occupancy with a tenant. Lettings relief was introduced in 1980, to allow people to let out spare rooms within their property, on a casual basis without losing the benefit of PRR. But HMRC says that it has found that lettings relief is being used for purposes beyond the original policy intention, benefitting those who let out a whole dwelling that has, at some stage, been their main residence. So what are the current lettings relief rules? Well, where the property has been let at any time, each owner can claim lettings relief to reduce the taxable capital gain, the rules are as follows:
- This relief can cover gains of up to £40,000 per owner
- It is only available if the property has been the owner’s main home for a period
- It is also capped at the amount of PPR relief, due for the period of actual occupation by the owner
At the same time, Hammond proposed that CGT would be payable “on account” within 30 days of completion for all UK residential properties. Originally intended to be effective from 6 April 2019, to coincide with the new NRCGT rules, implementation of the proposal was delayed until 6 April 2020. So If you have no gain to report or the gain is covered by exemptions or losses, you won’t have to complete a property disposal return. After the end of the tax year, you will complete a self-assessment return to disclose the property gain. The ‘on account’ payment will be deducted from the end of CGT liability; this could result in a repayment of CGT for you.
Digitaccs can help you make sense out of filing tax returns and help your business succeed. To find out how, please contact us now 020 3367 1108.
How To File Tax Return in 7 Easy Steps
You must file your 2018/19 self-assessment tax return online by midnight on 31 January 2020 if you want to avoid a late filing penalty. so, what can you do to help ensure this deadline is met?
Help us to help you
Tax return season is a very busy time for us accountants and tax advisers. With the best will in the world, there is a limit to the number of tax returns that can be filed on 31 January. To ensure your tax return is filed on time, it is advisable to help us help you, as follows:
1. Check what date your accountant needs tax information from you in order to meet the filing deadline, and make sure that you provide the information by that date.
2. Collect together all the relevant paperwork and make sure nothing is missing. This will include your P60 and P11D, dividend vouchers, bank statements, details of trading income and expenses, details of rental income and expenses, details of sales of capital assets and associated expenses, and details of pension contribution and charitable donations.
3. Make sure your paperwork is organised and easy to follow, whether supplied digitally or in hard copy format.
4. Keep copies of the information supplied to your accountant.
5. Advise your accountant of any changes in your personal circumstances – such as change of address, whether you have got married or divorced etc.
6. Deal with any queries promptly.
7. Pay any tax due on time.
What are the penalties for late returns?
Deadlines Apply
You will be charged a late filing penalty if your self-assessment tax return is filed late. The normal deadline for filing the 2018/19 tax return online is midnight on 31 January 2020. A later deadline applies if your notice to file a return was issued after 31 October 2019 – this is three months from the date of the notice.
Underpayments
If you wanted an underpayment (available for underpayments of up to £3,000) to be collected through PAYE, via an adjustment to your tax code, you would have had to file returns by 30 December 2019. And you would have had to file paper returns by 31 October 2019 (or three months from the date of the notice to file, where this was issued after 31 July 2019) to avoid a penalty – however, if you missed this deadline, you can avoid a penalty by filing online, by 31 January 2020.
£100 Penalty And More
You should know that returns filed late, attract a late filing penalty of £100. You will be charged even if there is no tax to pay or the tax is paid on time. You will also be charged further penalties, if your return has not been filed three months after the due date – from that point daily penalties of £10 per day start, to accrue for a maximum of 90 days (£900). At the six month and 12-month point, you will then be charged additional penalties set at the higher of 5% of the tax due and £300. You will also be charged penalties if tax is paid late, in addition to any interest that may accrue. The trigger dates you should watch out for are 30 days late, six months late and 12 months late. At each date, the penalty is 5% of the tax outstanding at the trigger date.
Digitaccs can help you make sense out of filing tax returns and help your business succeed. To find out how, please contact us now 020 3367 1108.
Digital Links for Making Tax Digital
MTD – announces more time for digital links…what does this mean for you?
You may have heard that on, 17 October, HMRC made a much-welcomed announcement that some businesses will qualify for an extension to the MTD for VAT (MTDfV) existing twelve months ‘soft-landing’ period. This is to allow businesses to set up digital links. Does your business qualify for an extension?
HMRC’s view
For your information, section 4 of HMRC VAT notice 700/22 ‘Making Tax Digital for VAT’ covers the requirements for your digital record keeping, a fundamental of ensuring compliance with MTD:
- If you are a VAT registered business with annual VAT-able turnover in excess of £85K, you are required to comply with MTDfV rules.
- To achieve compliance, you must keep and preserve certain records and accounts digitally within functional compatible software.
- Functional compatible software can be a software program, or set of software programs, products or applications, that must be able to:
1. record and preserve digital records (see paragraph 4.3)
2. provide HMRC with information and returns from data held in those digital records by using the API platform
3. receive information from HMRC using the API platform
With only limited exceptions, once your VAT data has been digitally recorded into your business’ chosen accounting software any subsequent transfer, recapture or modification of it must be carried out using digital links. While everything required to achieve compliance could be done from within third-party software, it might also mean resorting to transferring your data between disparate pieces of software, in order to achieve compliance. With each piece of software needing to be ‘digitally linked’, to create a digital journey ending with the submission of your MTD-compliant VAT return.
Digital links
So exactly, what are digital links? Well, section 4.2 .1 of 700/22 describes a ‘digital link’ as, “…. a transfer or exchange of data [that] is made, or can be made, electronically between software programs, products or applications”. So, in effect, digital links include:
- Linked cells in spreadsheets
- Emailing a spreadsheet containing digital records, so the information can be imported into another software product
- Transferring a set of digital records onto a portable device (for example, a pen drive, memory stick, or flash drive), and physically giving this to someone else, who then imports that data into their software
- XML, CSV import and export, and downloads and uploads of files
- Automated data transfers
Why?
In the context of MTDfV, a soft-landing period is an amnesty period during which, provided you are a VAT registered entity required to comply with MTDfV regulations, and you have tried your best to satisfy the digital links rules. And that for reasons such as your software providers still working on delivering the required functionality, you have found it impractical to comply, so then no penalty for non-compliance will be issued. Prior to the launch of MTDfV, HMRC announced there would be a one-year soft-landing period for all businesses who, after trying, were initially unable meet the legal requirement for digital links. The period-of-soft-landing was, and remains to be, an essential element of ensuring a smooth roll out of MTDfV. Why…simply…without the soft-landing many businesses, without fully functionally compatible software at the launch of MTDfV, would have been left facing fines for failing to have digital links in place, even though, they and or their software providers, were doing their best to ensure that everything required to achieve compliance would be ready as soon as possible. Which, HMRC realised was not a good position to leave those willing to be compliant in.
The initial soft-landing period
If you are affected, the initial soft-landing period commenced from the first day, of the first return period, after 31 March 2019 for most mandated businesses, or after 30 September for a small number of deferred businesses. Those with the most complex of VAT affairs. As announced on 17 October, businesses with complex or legacy IT systems, who are struggling to have digital links in place within the existing one-year soft-landing window, are now able to apply for additional time to put the required digital subject to meeting certain qualifying criteria. Where your business qualifies, the additional time will be granted as a specific direction from HMRC. It’s important to note that there is no blanket extension to the soft-landing period, and it appears that HMRC will take a fairly strict line on who does and doesn’t qualify.
Why the extension?
Many businesses use bespoke software, specifically tailored to their market sector, to manage bookings, keep records, stocks, etc. Where this is the case, it is not uncommon for there to be a need to manually post totals from one part of a system to another on a weekly, monthly or other basis. While such transfers will not be acceptable once the soft-landing expires, replacing them with a digital link(s) is proving, for some, to be difficult. In much the same way, many businesses with internally developed systems are finding they may need additional time to get their, often very different, software packages to talk to each other. This is particularly proving to be the case for VAT registered entities in VAT groups. In recent months, AAT and its fellow professional bodies have highlighted to HMRC the difficulties some businesses are facing when trying to ensure they have digital links next year. This is a particular problem in industries that use specialist software, which can often be difficult (or even impossible) to link to accounting and VAT systems.
How generous is HMRC likely to be?
While your business can apply for an extension, you will only get one if HMRC accept that one is needed. Section 4.2 .1.3 sets out various criteria which you need to meet for digital link deadline extensions. Key amongst these is that it must be “unachievable and not reasonable” to have digital links in place in the normal one-year soft-landing period. HMRC are very clear that an extension will only be granted in “exceptional circumstances”. The department does not accept that the potential cost of achieving compliance with the digital links requirements, is sufficient grounds for you to apply for an extension. Furthermore, it expects businesses to make every effort to comply with ‘digital links requirements’. HMRC examples of what might be considered “unachievable and not reasonable”, include:
- Part of an IT system is incapable of importing and exporting data to or from another part, and it isn’t possible to update or replace it in time; and
- A business is in the process of updating or replacing its IT system and the planned implementation date is not before the end of the original soft-landing period.
Even where an extension application is granted by HMRC, it will not be a permanent relaxation of the requirement for robust end-to-end digital links.
- Businesses still have to consider how they will put digital links in place, and will need to set out a clear explanation and timetable for when and how this will be implemented in their application to HMRC.
- The length of any extension will be decided on a case by case basis, though HMRC has indicated that they do not expect that this will ordinarily be what businesses should do.
If you think your business may benefit from an extension, you should first look at the detail in the VAT Notice, whether it meets HMRC’s criteria. If you believe it does, then you can make a formal application to HMRC. The VAT Notice sets out the information which this must contain, including the “unachievable and not reasonable” explanation, to have digital links in place by the end of the normal soft-landing period, a map of current VAT systems, a timetable plan to put digital links in place, and details of controls for manual transfers of data in the meantime. You have to submit your application before the current soft-landing-on-digital-links expires. Given the amount of information required, you may want to make a start on your application sooner rather than later.
Digitaccs can help you make sense out of making tax digital and help your business succeed. To find out how, please contact us now 020 3367 1108.
7 Top Tips To Improve Your Productivity And Success
Productivity = Success
Are you like most business owners, managers and senior executives? Juggling day to day responsibilities, growing the business and various other projects? With so much to do, improving your productivity is key if you want to succeed. Here are 7 top tips to help you improve your productivity.
1. Stop multi-tasking
In today’s always-on environment, many of us have fallen into the trap of multi-tasking and trying to do too much. Instead, try to focus on doing individual tasks properly. Create a priority list each day and focus on getting each item on that list ticked off. That way you can focus on processing the task at hand.
2. Delegate
The very best business leaders are masters of delegation. Build a team of effective people around you and delegate as much as you can. Empower them to take on projects and avoid micro managing. Delegation is the key to productivity!
3. Learn to say no
Taking on too much at once will reduce your productivity and increase your stress levels. Say no to things that are not important. Just because you are invited to a meeting doesn’t mean it should be a priority. Focus on the things that really matter to you and your firm and say yes to them. Everything else is just a distraction.
4. Cut out the noise
With email, instant messaging, social media and phone calls, we are all distracted by constant noise. Schedule specific time for checking your various email and messaging inboxes and refrain from checking your messages outside of these specific times.
5. A day of no meetings
Scheduling a “no-meeting day” every week can have a positive impact on your productivity. Every manager needs uninterrupted blocks of time to deal with projects, reporting and whatever else is on the “to do” list.
6. Leave work at a reasonable hour
The most productive managers make it home at a reasonable time. Successful leaders don’t work long hours every day in an attempt to tick more items off their to-do list. Instead, they think through their priorities, schedule time for each, then it’s time to go home.
7. Fuel your mind and body with the right nutrients
Super efficient managers know that the foods they eat affect them more than they know. Food has a direct impact on your cognitive performance, which is why a poor decision at lunch can derail an entire afternoon. Make sure you pre-plan your meals / meal purchases and eat food that will support both your brain and body functions to be super productive. As well as grazing throughout the day to avoid your blood sugar levels getting too low, make sure your food sources are clean and healthy as opposed to processed food which tends to be quick to buy and consume but will badly impact your performance later on in the day / next few days.
Digitaccs can help you and your business succeed. To find out how, please contact us on 020 3367 1108.
Video available here.
Can you hire your workforce and manage the gig economy effectively?
The gig economy and your workforce
The so-called gig economy is starting to change the way we think about our workforce. In the light of a recent government review, and as the working world becomes more flexible, an increasing number of professionals are opting to become independent contractors, marketing their skills to businesses, for as long as required. This new type of employee can create a new set of challenges for your businesses to manage. These professionals tend to want more flexible working arrangements and a better work-life balance. They are agile and don’t want to be tied to the traditional 9-5 working day. As such, you, as an employer, need to change how you think about your HR policies.
Plan ahead
If you want to benefit from the gig economy and use contractors and flexible workers, you should create a plan on how you intend to allocate costs associated with them. In addition, you should agree a process by which you can set objectives, track deliverables and key milestones achievement.
Work with the right partners
If you are going to use a recruitment agency to help you employ gig economy contract workers, look for agencies that truly understand the flexible employment market. Do your due diligence and make sure they have extensive experience working with firms in your industry, as there have recently been bad press reports.
Cost drivers
Contract workers can help you lower your talent costs. As well as employment agencies, there are various online resources available to you, such as Freelancers and Upworkers, that allow independent contractors to pitch and compete for your firm’s projects. This can help you access some of the best talents around, but at a lower cost.
Utilise technology
Technology plays a key role in managing your flexible workforce and taking advantage of the gig economy. Contractors will need to access your systems and data. You will need to consider whether they need to use their own computer, or an allocated company-owned laptop / device, for the duration of their contract. You should also consider security, and ensure that company data held on any contract worker’s devices can be managed remotely, if required. The companies best able to tap into this growing talent pool can, in this way, access skills that may have previously been inaccessible to them. For example: some contractors may have broad multinational project-based experience, which can highly benefit your organisation.
Hiring contractors
When it comes to hiring workers or contractors, you will also need to be very clear as to what employment status they will effectively have.
Digitaccs can help you and your business make better use of the gig economy and contractors. To find out how, please contact us now on 020 3367 1108!
5 Obsessions To Help Optimise Your Small Business Online
1. Optimise your small business online: The Customer
Whether you’re just getting started, or have been in business for a long time, in order to optimise your small business online, ensuring that your customers’ needs remain at the heart of all you do is the way to drive real success. Jeff Bezos, founder and CEO of Amazon states, “If you’re truly obsessed about your customers … it will cover a lot of your other mistakes.” Becoming customer-obsessed must come from your company’s culture and value proposition – for example, to truly improve your customer experience and loyalty. Appealing to your customers by delivering what they want, when they need it, should come as a priority.
2. Optimise your small business online: Service
As soon as your customer has made the decision to click to order your product or service online – regardless of your brand – the marketing activity and PR for your product should become your main focus. When it comes to delivering a high-quality service, it is essential to consider all aspects of the service, from the way the product is packaged and delivered to how any returns and complaints are handled. By being service obsessed, you can be sure to always exceed customers’ expectations.
3. Optimise your small business online: Quality
The most successful businesses don’t just drive by their levels of creativity, but they also create quality products, based on customer feedback. Beyond your product or service, you can internalise quality packaging, simple usability and prompt responses to customer queries.
4. Optimise your small business online: Content
To build your brand online, being obsessed with high-quality and compelling content on your company’s blog is key to increasing interest. This needs to be on-going, and consistently aligned with both your brand and/or culture and what you deliver to your customers. Compelling content can help improve your customer experience and can provide a source of amusement and entertainment that puts your brand at its heart. Writing compelling posts has nothing to do with your level of experience, or whether or not you’re a native English speaker. It’s about how you make readers feel. That’s why every writer of your content must be creative, imaginative and innovative.
5. Optimise your small business online: Innovation
Any business that stands still is likely to be out of business in the near term. Being obsessed with driving innovation is critical to your business’s growth. In Steve Jobs’ own words, the founder of Apple, “You can’t just ask customers what they want and then try to give that to them … by the time you get it built, they’ll want something new.” Innovation is the key to driving new ideas and products that will gain the most attention online. Your business will require a level of commitment to experiment and test new ideas. Jeff Bezos states, “If you double the number of experiments you do per year, you’re going to double your inventiveness.” Being obsessed with these five areas will help you increase your success. Your obsession then becomes such a driving factor that your work remains your passion – the highest level of drive to make any business succeed!
Digitaccs can help you and your business succeed. To find out how, please contact us on 020 3367 1108.
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