Self-employment refers to a work arrangement where individuals earn income by conducting their own business rather than being employed by someone else. In the UK, this status applies to those who run their own enterprises, whether as sole traders, limited company directors, or partners in a business. Self-employed individuals have the freedom to set their own hours, choose their clients, and develop their business strategies according to their own vision. However, with this autonomy comes the responsibility of managing various business aspects, including finances, marketing, and compliance with legal requirements. In the context of UK taxation, self-employment has specific definitions and implications. The HM Revenue and Customs (HMRC) outlines that an individual is self-employed if they are responsible for the risks and rewards of their business. This includes making key decisions regarding operational practices, pricing, and customer relations. Unlike employees who receive a fixed salary and benefits from their employers, self-employed individuals must generate their own income and bear all associated costs. This distinction is crucial, as it determines how income is reported and taxed.