If you’re looking for a new umbrella company, chances are you will conduct some online research as part of the vetting process. Here we consider why you should treat online ‘reviews’ with a degree of skepticism.
Umbrella Companies
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?
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.
Umbrella companies – how preferred supplier lists work
Recruitment companies often operate preferred supplier lists of umbrella companies they work with. Here we consider how a PSL works in reality, and what happens if a candidate wants to use a different umbrella.
Limited or Umbrella Company – which is best?
Limited or Umbrella Company? We look at the pros and cons of each type of business structure. Which is the best route for contractors?
Agency Workers Regulations (AWR) – guide for umbrella company employees
The Agency Workers Regulations (AWR) were introduced in 2010 and came into effect on the 1st of October 2011. Although the legislation is complex, the premise is simple: to protect temporary workers employed through staffing agencies.
The Top 10 umbrella company questions – asked by employees
Here is a list of the Top 10 most commonly asked questions by umbrella company employees, based on our experiences of working with umbrella providers (and contractors) over the past 10 years.
Umbrella company contractors – what is the Apprenticeship Levy?
If you’re working through an umbrella company, you may have noticed deductions on your payslip for the Apprenticeship Levy. Here we explain what this charge is, and how it is calculated.
National Insurance hike – double pain for umbrella company contractors
The planned April 2022 National Insurance 1.25% hike will be painful for almost everyone in employment. But, not for the first time, umbrella company workers are in line for more pain than most.
Limited company or PAYE umbrella – advantages and disadvantages
Almost all contractors who provide professional services to clients trade via their own limited companies, or join a PAYE umbrella. Here we’ve compiled a table to help compare the pros and cons of each structure.
Umbrella company expenses – what can you claim for?
If you are working via an umbrella company, you may incur a variety of business expenses during the course of your work. Here we look at how expenses are treated for tax purposes.
Umbrella company fees – the lowdown on costs
The only legitimate way PAYE schemes can compete with each other cost-wise is in the fees they charge their contractor clients. Here, we compare some of the leading umbrella companies, and explain why you should look out for hidden charges.