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IR35 PS - Calculator for rate WITHOUT Employer NI

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    #11
    Originally posted by psychocandy View Post
    Agency pays employer NI, and I assume levy.
    Sorry, I'd assumed that your question mark implied a question earlier. But I would be wary of making assumptions and guesses around money if I were you.

    Originally posted by psychocandy View Post
    Passes gross to paystream, who deduct employee ni and paye. Pass to my ltd who pay me as salary.

    Advantages? Company still has expenses - accountant, insurance, mobile phone, childcare vouchers. No profit (since its all forced as salary) but this loss can be carried forward/carried back to previous tax years against CT.
    I don't see any advantages that don't already exist if you leave the company running and work via an umbrella. I see a lot of uncertainty and confusion looming though.

    And I'd question the legitimacy of some of your expenses in that list - if your company isn't your employer (since you are full-time for someone else), can they still pay you childcare vouchers? I'd suspect not.
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      #12
      Also your net personal income should not go through YourCo, it should go straight to your personal account or you'll have to account for it through CT. Also you will end up paying someone to give you your own money.

      Personally I can see no benefit or merit in your proposed solution. Nor, I suspect, will anyone else.
      Blog? What blog...?

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        #13
        Originally posted by psychocandy View Post
        Agent offers this as one option via paystream. Its just I appear to be the first one who has wanted to do this so there is some 'discussion' about what the post-employer NI rate should be.
        If you've only one choice and they are offering the package that fulfils your needs surely they should be able to give you the full details of the offering including example figures? Sounds like a pretty crap offering if they can't give you the basics of what you will get if you go through them. If that's where they are I'd be staying well away TBH.
        'CUK forum personality of 2011 - Winner - Yes really!!!!

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          #14
          Originally posted by TheFaQQer View Post
          Sorry, I'd assumed that your question mark implied a question earlier. But I would be wary of making assumptions and guesses around money if I were you.



          I don't see any advantages that don't already exist if you leave the company running and work via an umbrella. I see a lot of uncertainty and confusion looming though.
          PC rarely asks questions in the way we understand questions. This is more a look at me aren't I clever post which we gawk at and instantly see numerous flaws in an overly complex scheme that just about solves his minor problem while creating numerous other bigger ones...
          merely at clientco for the entertainment

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            #15
            Originally posted by malvolio View Post
            Also your net personal income should not go through YourCo, it should go straight to your personal account or you'll have to account for it through CT. Also you will end up paying someone to give you your own money.

            Personally I can see no benefit or merit in your proposed solution. Nor, I suspect, will anyone else.
            Indeed. The fact there are so many contractors in the PS and yet no viable solution has appeared you'd think that spoke volumes.

            I'd be interested to hear how much PC think he will be saving by using a, so far, non existent solution.
            'CUK forum personality of 2011 - Winner - Yes really!!!!

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              #16
              Originally posted by northernladuk View Post
              Indeed. The fact there are so many contractors in the PS and yet no viable solution has appeared you'd think that spoke volumes.

              I'd be interested to hear how much PC think he will be saving by using a, so far, non existent solution.
              There are only two places that a saving can be made.

              1) No more pesky umbrella fees to pay to get someone to do t he job right
              2) Maybe the agent will mess up the rate and you can get an increase somehow this way if they get the calculation wrong

              I'm not sure that I'd trust either of those to be good though.
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                #17
                Originally posted by eek View Post
                So zero benefit as it would be easier on an accounting basis to take the money as salary into your bank account and loan the company the money required for accountancy fees..... Childcare vouchers could be an interesting court case now your main employer is not your company....
                Therein lies one problem. My accountant has advised me to minmize expenses when the company is not actively trading. Childcare expenses when employed elsewere i.e. umbrella are a no.
                Rhyddid i lofnod psychocandy!!!!

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                  #18
                  Originally posted by TheFaQQer View Post
                  Sorry, I'd assumed that your question mark implied a question earlier. But I would be wary of making assumptions and guesses around money if I were you.



                  I don't see any advantages that don't already exist if you leave the company running and work via an umbrella. I see a lot of uncertainty and confusion looming though.

                  And I'd question the legitimacy of some of your expenses in that list - if your company isn't your employer (since you are full-time for someone else), can they still pay you childcare vouchers? I'd suspect not.
                  EXACTLY. Just one reason.
                  Rhyddid i lofnod psychocandy!!!!

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                    #19
                    Originally posted by malvolio View Post
                    Also your net personal income should not go through YourCo, it should go straight to your personal account or you'll have to account for it through CT. Also you will end up paying someone to give you your own money.

                    Personally I can see no benefit or merit in your proposed solution. Nor, I suspect, will anyone else.
                    Not according to accountant.
                    Rhyddid i lofnod psychocandy!!!!

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                      #20
                      OK, where the savings are:-

                      1) £5 per payslip instead of £20+ for umbrella. (Although this is cancelled out somewhat by need to pay for insurance now).

                      2) Additional expenses that can be claimed (and carried back as a loss) which can't be if Im employed by umbrella.

                      Childcare - up to the max
                      Training/subscriptions - safari online costs me £130+vat per year.
                      Miscellaneous stuff.

                      Stuff I have to pay more for:-

                      1) Accountant fees are half whilst with umbrella but full while using properly.


                      Not much in it admitedly, but for those of who want to keep our limited it'd be nice to use it still....
                      Rhyddid i lofnod psychocandy!!!!

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