With the deadline now passed for submissions to the Government’s consultation into the potential regulation of umbrella companies, one particular question caught our eye at IT Contracting.
Virtually all IT contractors work via limited or umbrella companies. In this section, we explore how PAYE umbrella schemes work.
- Find out what a PAYE umbrella company does.
- Why you should be cautious when reading umbrella company reviews.
- How much do the leading umbrella companies charge?
- The pros and cons of using an umbrella company.
- Why the scope for claiming umbrella company expenses has narrowed due to the SDC rules
- Which structure is best for you? Limited or Umbrella?
- Umbrella company comparison - 15 top tips
- Use our Umbrella Company Calculator
5 essential tips to help you find the best umbrella
- Don't focus purely on the weekly cost. Good customer service and communication skills are just as important. Ask other contractors for recommendations if you're looking for a new provider.
- Only sign-up to a UK-based PAYE umbrella. Never use offshore payment tax avoidance schemes.
- The only difference between take home pay quotes between umbrella companies should be the margin (fee) they charge.
- If you're caught by the Off-Payroll (IR35) rules, consider a flexible umbrella/limited model of working, so you can switch between the two with ease. Most leading accountants/umbrellas offer this service.
- Find a trusted umbrella in our umbrella directory.
In an unregulated industry, how can contractors keep away from dodgy operators? We look at how to identify the worst umbrella companies.
With tales of malpractice by some unscrupulous umbrella companies coming to light over the past few months, what can you do to make sure that your payslips aren’t hiding any hidden (possibly unlawful) deductions?
The government has published a consultation on proposals to tackle non-compliance in the umbrella company market. Now used by 500,000 people in numerous types of roles, it seems incredible that there is neither a legal definition of what an ‘umbrella company’ is, nor regulation of the industry itself.
Limited or Umbrella Company? We look at the pros and cons of each type of business structure. Which is the best route for contractors?
IR35 has had a profound impact on the contracting world over the past 20+ years. How do these tax rules affect umbrella company workers?
When you work through an umbrella company in the UK, you are treated as an employee for tax purposes. This means that you are liable to pay income tax and National Insurance contributions. Income tax Income tax is calculated on your taxable income, which is your total gross earnings minus your personal allowance and any […]
The number one question many umbrella companies are asked by their employees is: “why am I paying employers’ national insurance contributions?” – here we provide the answer and explain what other costs are payable by umbrella contractors.
Price is always an important factor when you’re looking for a new umbrella provider. But it shouldn’t be your sole consideration. Here we explain why choosing a cheap umbrella isn’t always the best option in real terms.
In this guide, we explore how umbrella company pensions work, what tax relief is available, and what to look out for when joining a workplace pension scheme.