How to write invoices

[kerry davies]

Unfortunately, Jive, colleges couldn't care less and unis appear to forget that business application and even "entry to the industry" modules are what a student actually pays for. Some are notable exceptions but I have yet to see a website advertising degree courses in this industry stating the bleedin' obvious.

 

This is not an industry for those who want a normal life. If you don't really have to do this then become a plumber, they are better off. The most recent research shows that the only area that is, so far, contracting is backstage (arts facilities). The majority of people earn under £20,000. There are more jobs in live music but do you really want to live in a bus? Even if you do get a good degree, with the associated debt, then employers will ask what further skills and how much experience you have...and then have dozens of applicants for every job.

 

Failing to teach business basics is a small part of the problem and, exceptions apart, academia needs to get its act together. Students are already sueing unis for misrepresentation and it can only get worse.

[Jivemaster]

OK if the college will not run the module it's time to get the students together to chat with a small business advisor. They usually come free and they are usually semi retired business people.

 

Getting your work status, employment status and your company status right at the beginning is essential.

 

Everyone in theatre needs to get their tax status sorted, there are a lot of employed people and a lot of self employed contractors, but an attempt to hide between these will get you investigated by HMRC and the work provider may have to foot the unpaid tax bill.

 

Remember that the bank manager will not cash your degree certificate! You get the degree to get a good job.

[rostraqueen]

Hi everyone, thanks for your contributions - I've now started my tech course and, as I'm sure you will be pleased to know, we have a weekly session called Personal and Professional Development which covers stuff like writing invoices and types of employment amongst lots of other interesting stuff about working in the industry.

I trust this will be useful to me and my future.

If there's anything else you think we should be taught that may not be covered by educational institutions, please let me know and I'll ask my lecturers about them!

[pisquee]

An addition to the original topic (not the employment status tangent)

 

Recently took a school to small claims court with my wife - they hadn't paid her an invoice. The good thing is the court ruled in our favour. As an aside, the judge said that courts will usually rule in favour of the contractor even when there is no invoice, or written agreement of works to be carried out, as the work obviously exists and has been done, and therefore needs paying for. She did say the name of this bit of law, but I can't remember it - something about "Project" Anyways, I digress. We had claimed interest as part of the case, from the date of the initial invoice that wasn't paid. the judge said she wouldn't grant this as there was no clause on the invoice that mentioned interest being charged on late payments, so we were only awarded interest on the debt from the date we first threatened legal proceedings.

So, as well as having as part of your Payment Terms section, a clause stating how soon you want to be paid, it also should mention that interest could/may/will be charged on late payments.

 

(Sorry to be a bit long winded, and potentially start a new tangent, but thought it may be of interest)

[Seano]

We had claimed interest as part of the case, from the date of the initial invoice that wasn't paid. the judge said she wouldn't grant this as there was no clause on the invoice that mentioned interest being charged on late payments, so we were only awarded interest on the debt from the date we first threatened legal proceedings.

 

Was that much more than 30days after the date of the initial invoice?

 

I think you have a you have a statutory right under the 'Late Payment of Commercial Debts (Interest) Act 1998 to charge interest at 8% above the base rate after a reasonable time (the default, kinda sorta, is 30days) whether your invoice mentions it or not. If the judge (judge? magistrate?) awarded you less than that it seems a bit odd. Was that act mentioned at all? clicky

 

Disclaimer: I no nuffink about the law, so could be wrong.

[kerry davies]

If the individual submitting an invoice is not an SME (small business) seems to be the only way for a late payer to avoid the law. Mrs Pisquee may be a "sessional worker" in which case they might be able to get away with no interest payment.

 

Otherwise Seano is right and, for most of us registered as self-employed SME's, interest is chargeable from the T's and C's payment period deadline. The linky even gives an example of how to work it out and what to add for compensation.

 

Thank you for getting back to us Rostra, appreciated. From a selfish PoV I want colleges to prepare students for the real world with some form of H&S training. The legal aspects are an area where a classroom based approach could be beneficial and there is so much legislation that workplace training is becoming difficult.

What do others think?

[pisquee]

Apparently for the type of claim we brought, it was at the Judge's discretion as to whether interest was awarded and how much. Our accountant had worked out what the appropriate interest was for the claim.

[halfpint]

a stupid question I'm sure....

 

is it safe to put you bank account details on invoices? as they do go missing...

would you guys recommend a separate account just for this purpose and then transfer money often?

I'm new to this too.

thanks

[Brian]

is it safe to put you bank account details on invoices? as they do go missing...

Every cheque you send out has got your bank account details on and your signature......

[djw1981]

a separate account could be useful for your record keeping as well.......

[Paul TC]

Every cheque you send out has got your bank account details on and your signature......

Just enough info to create a CHAPS payment request on your Bank Account as I found out some years ago.

[paulears]

Sometimes, the choice over self-employment is made by the people you work for. My son's been working with me over the summer on a PAYE basis, and has got himself a pantomime. The contract is very explicit that the production company is not the employer, you are responsible for your own tax and national Insurance and you must submit an invoice for the full fee for the job. As his PAYE job finished last month - he's not signed on yet, so the advice he's been given is to sign on as unemployed at the moment, then start his self-employment status as the contract date arrives. When it's over he has the choice to cease being self-employed and declare himself as looking for 'normal' employment. The contract uses wording that meets the basic principles of the rules on self-employment. I've looked it through and it seems quite straightforward.

[zonino]

depending on the grade they're in, HMRC could still look and say "no, thats not a self-employed grade. they should be contracted as an employee" (otherwise the freelance sector of the tv industry would be much happier)