Work and personal finances for self-employed 'spill over'

Monday, May 10th 2010

Business and personal finances among the self-employed can easily be blurred, according to an expert.

A spokesman for the Consumer Credit Counselling Service (CCCS) said the two aspects are commonly mixed, particularly during tough times.

Credit cards or loans could be taken out for business purposes and just one bank account may be used for work and out-of-work spending, he added.

But the spokesperson warned: "This means that problems in one area can then spill into the other more easily."

According to the Foreign Direct Currency, almost one-quarter of self-employed people are considering moving abroad in the next give years in order to gain a better balance between work and leisure.

Some 38 per cent said they would do so because of tax rises in the UK, the study found.

The CCCS advised anyone with personal debt problems to contact the charity and receive help in budgeting their expenditure, which could help their organisation move forward.