Beekeeping finances - bank/savings account?

[MandF]

At the moment we have a little tin of money we keep income from honey sales etc. We are now starting to use it for purchases too - so now, in theory, the beekeeping is self-sustaining as there is enough in the kitty.

Just wondered if, for those who keep their beekeeping money separate, do you keep the money in a tin too, or has anyone opened up a separate bank/savings account for it?

We're considering doing this, with associated bank card for buying equipment and keeping a small float for change etc from honey sales.

 

[Erichalfbee]

I can dream


Last year I could have kept my honey sales money in a matchbox.

Seriously....I'm not that well organised all my money just gets pooled and spent one way or another

 

[MandF]

We were lucky last year, especially as we started from scratch with 2 nucs. But the money in the tin is all our honey sales over the last couple of years, plus a nuc sale, candles, polish etc.

Oh, and the tin is very small too

It just seems a bit old fashioned to be keeping money in a tin, hence the question about what others do with their bee money.

 

[Luminos]

My bee money is all one way, lol - going out, but none coming back in!

 

[victor meldrew]

I can dream


Last year I could have kept my honey sales money in a matchbox.

Seriously....I'm not that well organised all my money just gets pooled and spent one way or another

The only way to be! It all comes out in the wash
VM


Sent from my iPad using Tapatalk

 

[Little John]

If you check the interest rates currently being paid to account holders, keeping money in a tin or under a mattress are probably the best solutions - and will be for the foreseeable future.

LJ

 

[VEG]

If its in a bank account they know you have it.

 

[alanf]

We're considering doing this, with associated bank card for buying equipment and keeping a small float for change etc from honey sales.

Multiple accounts are a nightmare. Ask anyone who has had to sort out relatives finances when they go into homes or die. And technically your account is a business, not a personal account that avoids charges.

Massive companies with a turnover of billions actually have only a couple of UK bank accounts. all the internal accounting is based on a ledger. If you want to keep score just record all your bee related sales and purchases. A spreadsheet would be fine for a few hives or a small hardback book from the stationers if you like it on paper.

 

[Dishmop]

Just wondered if, for those who keep their beekeeping money separate, do you keep the money in a tin too, or has anyone opened up a separate bank/savings account for it?
We're considering doing this, with associated bank card for buying equipment and keeping a small float for change etc from honey sales.

Switzerland or Caymen Islands are Ok.

 

[MandF]

Multiple accounts are a nightmare. Ask anyone who has had to sort out relatives finances when they go into homes or die. And technically your account is a business, not a personal account that avoids charges.

Massive companies with a turnover of billions actually have only a couple of UK bank accounts. all the internal accounting is based on a ledger. If you want to keep score just record all your bee related sales and purchases. A spreadsheet would be fine for a few hives or a small hardback book from the stationers if you like it on paper.

Well, its not a business, its a hobby, according to HMRC!

I keep the incomings and outgoings on a piece of card at the moment, I was just thinking it would be easier to pay for bee stuff with a debit card from the bee account, rather than pay with mine and then take out the cash from the tin, when I might not actually want the cash in my wallet.

 

[madasafish]

I keep my money safe with the Co-Op Bank.

Err...

 

[yeogi75]

if you are selling and banking from home, it might be a business, might have to declare, and also may need a licence or may need to have business address, don't know I keep every thing quite, money in my ,check every thing out before you leap ,as the chap on TV selling spare flowers from his garden requires a licence of £350 quid from council so make sure

 

[Tdod]

surely if you sell the honey, candles etc in the inland revenues eyes it would be seen as income so tax would need to be paid, so bank accounts documentation should be kept to a minimum. It would not be seen as a hobby in their eyes but could be completely wrong....

 

[alanf]

Well, its not a business, its a hobby, according to HMRC!...

What HMRC defines for tax purposes has nothing to do with what a bank defines as a "personal" account for charging purposes.

 

[Finman]

At the moment we have a little tin of money we keep income from honey sales etc. We are now starting to use it for purchases too - so now, in theory, the beekeeping is self-sustaining as there is enough in the kitty.

Just wondered if, for those who keep their beekeeping money separate, do you keep the money in a tin too, or has anyone opened up a separate bank/savings account for it?

We're considering doing this, with associated bank card for buying equipment and keeping a small float for change etc from honey sales.

to keep own count is very expencive. Bank take every now than then some coins. When I had an stock account which I did not use, the cost was about 200 euros a year.

I prefer to hidden my incomes than show them to tax collector.
.

 

[Haughton Honey]

I keep my money safe with the Co-Op Bank.

Err...

Damn!

You beat me to it!

 

[MandF]

surely if you sell the honey, candles etc in the inland revenues eyes it would be seen as income so tax would need to be paid, so bank accounts documentation should be kept to a minimum. It would not be seen as a hobby in their eyes but could be completely wrong....

It is a hobby. You are allowed to generate income from a hobby, and it not be liable for income tax. Plus, even if you ran a business which had a turnover of £100k, you wouldn't pay corporation tax on £100k.

If I sell a jar of honey for £5, and put that money in a tin, is that £5 "profit"?

If I had £700 in a 'bee' bank account, I am under no requirement to pay out of that account, or even account for it. Therefore there is no way to know if that £700 represents a £700 profit, or a £5000 loss.

Anyhow, I am not proposing to open a business account called 'mybees', I would simply open another savings account under my name and hold the money in there. The (my) savings account would have an associated debit card, or on occasions I would buy something on my credit card, I could transfer the amount from my bee savings account to my current account. As opposed to now, where I take the cash out of the tin and put it in my wallet.

 

[Finman]

.
If you really count what beekeeping gives as a profit, you propably need over 10 or 20 hives that you get your own back.

i hope that you get gasoline to car with honey money when you go to bye beekeeping stuff.

.

 

[psafloyd]

If its in a bank account they know you have it.

So what? You might get some interest and pay a bit of tax on it, but you get nowt from it being in a tin.

I have an old account I used for freelance (so I could pay my tax) and I nearly closed it after opening a business account, but have started using it for my beekeeping money. I don't like keeping cash in the house and I did have a few hundred quid sitting around in a little plastic tub.

 

[psafloyd]

Damn!

You beat me to it!

Your money is safe with the Co-op. Unless you have more than £85,000 with them.