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faraway saint

Umbrella Companies

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Has anyone been in the situation of being contracted and used an umbrella company?

I'm about to start a 6 month contract and have been given 2 widely varying figures on net pay from 2 umbrella companies.

One is considerably under what I would be earning in a normal employment situation, the other considerably above.

They also don't seem to offer holiday pay, which leaves me 3 weeks with, seemingly, no pay in the 6 month period.

 

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I worked using an umbrella company not good experience wouldn't do it again..

Normally you do get paid more under them however you have no entitlement to holiday pay as you are in a roundabout way self employed and not an "employee".

I only work as a LTD company now much less hassle and your more covered.

I suppose it all depends on what you are doing and how much paperwork you want to do.

 

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Just now, Svard svard said:

I worked using an umbrella company not good experience wouldn't do it again..

Normally you do get paid more under them however you have no entitlement to holiday pay as you are in a roundabout way self employed and not an "employee".

I only work as a LTD company now much less hassle and your more covered.

I suppose it all depends on what you are doing and how much paperwork you want to do.

 

Could you PM me, I'm not trusted to PM :lol: and prefer to keep some details private? 

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I did a few years ago for a brief spell, I'm sure an umbrella company is the finance department (wages clerk) for agencies, 

iirc they give you options on how you would liked to be payed, either on a PAYE basis or you can settle your own Tax/NI 

when doing your Tax returns, this would probably be the answer to why your figures vary so much, also I'm pretty sure 

they all charge a fee for processing your wages as well some a lot more than others..

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22 minutes ago, scrappy coco said:

I did a few years ago for a brief spell, I'm sure an umbrella company is the finance department (wages clerk) for agencies, 

iirc they give you options on how you would liked to be payed, either on a PAYE basis or you can settle your own Tax/NI 

when doing your Tax returns, this would probably be the answer to why your figures vary so much, also I'm pretty sure 

they all charge a fee for processing your wages as well some a lot more than others..

The 2nd quote is considerably higher than the first but, as they haven't given a detailed breakdown as yet, I can't see where the difference is coming from.

You could well be right about the tax. I've e-mailed them asking for a detailed breakdown. 

The 1st quote are taking 2 NI amounts, one for employer and another for employee, FFS! 

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Umbrella companies are used solely for tax dodging purposes and serve no business use whatsoever. I can't believe they have not been shut down yet. :lol: 

Either go Ltd Co or go as an employee.

Honestly, the things people will do to try and avoid IR35 is unbelievable. 

Do things properly FFS.

 

Edited by oaksoft

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21 minutes ago, oaksoft said:

Umbrella companies are used solely for tax dodging purposes and serve no business use whatsoever. I can't believe they have not been shut down yet. :lol: 

Either go Ltd Co or go as an employee.

Honestly, the things people will do to try and avoid IR35 is unbelievable. 

Do things properly FFS.

 

I start in 2 weeks and I intend this to be my only position as a contractor so going LTD isn't worth the hassle.

I don't have the option to go as an employee as this was done through an agency.

Who said anything about dodging tax?

You are a walloper at times with your ability to jump to conclusions. 

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7 minutes ago, faraway saint said:

My, you are a wit. :snore

Are you still in the sin bin or are you just taking a page out of shull's book.   Besides, saving my money for a rainy day.  

 

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8 minutes ago, faraway saint said:

Still in...............no idea why..........................god forbid I follow Shull in anything.

Perhaps your humour isn't as good as it used to be.  :P   

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1 hour ago, faraway saint said:

I start in 2 weeks and I intend this to be my only position as a contractor so going LTD isn't worth the hassle.

I don't have the option to go as an employee as this was done through an agency.

Who said anything about dodging tax?

You are a walloper at times with your ability to jump to conclusions. 

It's irrelevant how you feel about the hassle. There are legal ways to do things and there are dodgy as f**k ways to do things. Employee, sole trader, Ltd Co. Those are your choices. Pick one.

Umbrella companies are a tax dodge to avoid IR35. People only use them when they know they are going to be caught by that legislation. If you use it and get caught, don't come crying to me saying I didn't warn you.

Educate yourself before  you start calling other people wallopers.

 

Edited by oaksoft

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14 minutes ago, oaksoft said:

It's irrelevant how you feel about the hassle. There are legal ways to do things and there are dodgy as f**k ways to do things. Employee, sole trader, Ltd Co. Those are your choices. Pick one.

Umbrella companies are a tax dodge to avoid IR35. People only use them when they know they are going to be caught by that legislation. If you use it and get caught, don't come crying to me saying I didn't warn you.

Educate yourself before  you start calling other people wallopers.

 

You are a walloper. 

To help you see highlighted area.

You know a lot about everything and nothing, that's well documented.

Now feck off, you're boring me.  :byebye

Edited by faraway saint

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6 minutes ago, faraway saint said:

You are a walloper. 

To help you see highlighted area.

You know a lot about everything and nothing, that's well documented.

Now feck off, you're boring me.  :byebye

Good luck with the new job.

Don't forget to pay your taxes like every other law abiding citizen. :P

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