Should you have a separate bank account for your practice?
Yes, from the first payment. One account for the practice and a second for the tax you’ve set aside. In most places a sole proprietor or sole trader isn’t required to, but mixing the money makes every year-end slower, every tax question harder, and every good month look better than it was.
The two-account setup
- Step 1
A practice account.
Every client payment lands here, and every business cost goes out from here.
- Step 2
A tax account.
On the day you’re paid, move the set-aside across. Don’t touch it until the tax bill comes.
- Step 3
Pay yourself.
Move what’s left to your personal account on a regular day, as if it were a salary.
When it’s required
A limited company in the UK has its own bank account, because it’s a separate legal person. An LLC in the US should too, because mixing its money with yours can weaken the separation it gives you. As a sole proprietor or sole trader, it’s a choice, and an easy one.
On WorkWith, payouts go from Stripe to the bank account you give it, so the practice account is the one to give.
Checked 2026-10-11.