Price is always an important factor when you’re looking for a new umbrella provider. But it shouldn’t be your sole consideration.
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.
- What does this mean? Our umbrella company glossary.
- Which structure is best for you? Limited or Umbrella?
- Umbrella company comparison - 15 top tips
- Calculate your net take home pay here.
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 (PSLs) work
Recruitment companies often operate preferred supplier lists of umbrella companies they work with. Here we consider PSLs work in reality. And what happens if a candidate wants to use a different umbrella?
HMRC’s new umbrella company pay calculator put to the test
Clarity Umbrella puts a new take-home pay tool from the taxman through its paces, with surprisingly pleasing results.
How to check if the deductions on your umbrella company payslip are legitimate
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?
Umbrella company employment costs and other deductions
If you work via an umbrella company, your payslip will include deductions for ’employment’ costs. Here, we explain these costs are.
How to compare umbrella companies – 15 tips for contractors
Here are 15 things to look out for when you compare umbrella companies. Find the best umbrella and keep clear of rogue providers.
Are online umbrella company reviews trustworthy? What to look out for
If you want to join an umbrella company, chances are you will conduct online research as part of the vetting process. Here, we look at why you should treat online ‘reviews’ with a degree of scepticism.
Three ways the 2024 Autumn Budget affects the umbrella company market
Guidance from a top assessor of payment compliance on how contractors can navigate the soon-to-be legislated against umbrella company landscape.
Elective Deduction Model: a clear, present, future danger
The EDM, or hybrid model, is set to do a brisk business in 2025 — much to the potential damage of agencies, clients and contractors.
Autumn Budget 2024 – the impact on umbrella contractors and the umbrella industry
Official estimates put the annual take-home dent at £800, industry estimates at £1,000. Either way, the chancellor giveth to HMT but taketh from the umbrella market — and in more ways than one.