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November 10, 2020 at 2:50 am #1000454Sue1604Member
- Total posts: 2
I have some questions for those who manage a ‘portfolio career’. Any tips and advice will be gratefully received!
I am in my early 50s, with about 30 years experience in schools as a primary classroom teacher and later primary teacher librarian. Due to chronic illness, I am no longer able to work in schools, but my passion for teaching, reading & writing remains. I am currently surviving on income insurance protection (IIP), and want to build these revenue streams so that I can be independent when the IIP finishes.
I am particularly interested in:
– small tutoring business from my own home
– freelance writing, including articles and teacher resources
– writing books for children
– online learning adviser with universities (currently have some applications in)
These provide more flexibility than working in schools, and have very few overheads.
– Am I a sole trader as a tutor for children, and a separate sole trader as a writer, and as an academic?
– With many different revenue streams (hopefully!), do I need a different abn for each?
– Does income need to be in separate bank accounts for different sources of income?
Sorry for the long message, and thanks in advice for your words of wisdom.
Sue. (http://www.sdscottwriter.com)November 10, 2020 at 4:37 am #1224435bengtanMember
- Total posts: 12
Hi [USER=117874]@Sue1604[/USER],Sue1604, post: 271365, member: 117874 wrote:Am I a sole trader as a tutor for children, and a separate sole trader as a writer, and as an academic?
By default (ie. if you don’t explicitly set up a structure like a company or whatever), anything you do is ‘part of you’ as a sole trader. For example, when you file tax returns to the ATO, you report (the income from) all of those activities as part of your personal income, and they are taxed at personal income tax rates.
Internally, whether you want to maintain separate books/bank-accounts/records for each, or combine them all together, it’s up to you.Sue1604, post: 271365, member: 117874 wrote:With many different revenue streams (hopefully!), do I need a different abn for each?
I believe you don’t need to have separate ABNs, but others may correct me.Sue1604, post: 271365, member: 117874 wrote:Does income need to be in separate bank accounts for different sources of income?
AFAIK, this is also optional
Hope this helps!November 10, 2020 at 11:43 am #1224436Sue1604Member
- Total posts: 2
Thanks so much for the feedback. I have been looking at the business.gov.au and ato websites today as well, and you’re right, it seems as though sole trader is the most straight-forward.
Thanks for taking the time to respond. Appreciate it.
Not sure if the moderators review these replies, but some of the links in the welcome thread are out of date, and it might be helpful to newbies like me if they were update.
Thanks again.November 11, 2020 at 3:56 am #1224437bb1Participant
Sue1604, post: 271365, member: 117874 wrote:– Does income need to be in separate bank accounts for different sources of income?
- Total posts: 4,472
I would suggest that if you are setting up separate stream of income such as this, it may be easier to keep it all separate, makes a book keeping a little harder, but if say one arm starts earning mega dollars, it’s easier to see which stream is the winner. But also further down the track if you want to sell one of your arms of business, it makes it far easier to show a potential buyer, what is what, rather then guesswork.November 15, 2020 at 5:34 am #1224438MattH753Member
- Total posts: 15
Hi, my son is dyslexic and has used a Multisensory Structured Language tutor over the years. I believe there is plenty of workaround for great ones. With the diagnosis of learning difficulties increasing and schools not really understanding how to teach dyslexics how to read you could find a good niche tutoring kids in your local area.
Pretty sure you could set up 1 ABN and classify yourself as an education consultant which would cover your various income streams. Might be worth asking your accountant though.
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