Taxable profits are used to calculate tax. Adjustments need to be made to trading profits because certain expenses are treated differently for tax purposes. These types of expenses include: Depreciation Entertainment
Trading profits are the amount of money left over after deducting all your business expenses from your business income. They are shown on a profit and loss account for a specific period of time (normally one year).
Your hourly rate is more than just the amount you think your clients are willing to pay you for your services. It’s about the profitability of your business and how you value yourself. In this guide, I’ll show you how to calculate your hourly rate so you get paid exactly what your worth, cover your costs and avoid some common pricing mistakes.