What happens to taxes if you are self-employed in addition to your job?
Hello everyone,
first of all….
Yes, I will consult a tax advisor, but I want to go into the conversation somewhat prepared so that I don't seem completely clueless and I can better understand what he means.
I would like to become self-employed alongside my main job.
I currently earn around €40,000 gross per year and would like to know exactly what the tax situation is.
My current knowledge is as follows:
As soon as my turnover falls below €22,000, I have to pay sales tax. From then on, I'm charged 19%, which I can add to the price.
As far as income tax goes, the "self-employed" and "non-self-employed" income are combined. If I get about 20% deducted from my salary anyway, I'll have to add an additional 1% for every €3,000 (there's supposed to be a list somewhere, can someone send it to me?).
Please correct me if I'm talking nonsense, I'm just gathering all the information.
Is that correct so far?
Let's assume I earn an additional €1,800 per month, or €21,600 per year, from my self-employment. When will this total be deducted, and how much would I be left with, and how exactly is this calculated?
Does it make sense to leave the money in the company account?
You can't deduct sales of less than €22,000, can you?
Thanks in advance for your answers.
I would like to become self-employed alongside my main job.
I currently earn around €40,000 gross per year and would like to know exactly what the tax situation is…
If you are single, the additional income tax burden from your business as a secondary occupation is calculated according to your marginal tax rate as follows: https://www.sozialpolitik-aktuell.de/files/sozialpolitik-aktuell/_Politikfelder/Finanzierung/Datensammlung/PDF-Dateien/abbIII21a.pdf
For example, if you had a taxable income of around €30,000 in the previous year, your additional tax burden on the profit from your self-employment would be around 30% marginal tax rate : for example, on a profit of €15,000 this would be an additional tax burden of around €4,500!!!
PS: As far as income tax goes, the "self-employed" and "non-self-employed" income is lumped together. If I get about 20% deducted from my salary anyway, I'll have to pay an additional 1% for every €3,000 (there's supposed to be a list somewhere, can someone send it to me?)…
Of course that's not true :-((
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