Hi all, I've been running a small web-based business for a couple of months now, and I'd really appreciate some advice on how best to keep the books. I can't afford an accountant just yet (I don't think - how much do they cost anyway?!) and besides, I think it'd be good for me to get a basic understanding of how the numbers work. I looked into a couple of accounting packages, including MYOB, Quick Books and Sage, but found them to be a bit overkill for my needs. I figure I could probably keep track of everything using Excel, or perhaps a simple Access database. After all, I really only need something to log my ingoings and outgoings. What do you think? Am I missing something? The other thing I need to think about is tax. I've registered with the IR as a sole trader. So, as I understand it, as I currently earn £28k from my day job, I'll be taxed at 22% on the next £3400, and 40% on anything above that, correct? Now, I gather I'll only pay tax on the income remaining after I've subtracted my allowable expenses (i.e. hosting, advertising). However, as it's not all that clear at this stage what is an allowable expense and what is not, and I don't want to fall short at the end of the year, would it be a good idea to set aside 22% of the first £3400 I bring in, and 40% of anything above that? i.e. stick it in another account? That way at the end of the year, I'll have more than enough to foot the tax bill. Good idea? Thanks in advance, Rob