IR35 PS - Calculator for rate WITHOUT Employer NI

[psychocandy]

At the moment, whole lot gets shoved to umbrella who take out employer NI, their margin, then do the relevant personal taxation.

Im trying to move to using limited but using a payroll company. In this case. agency would pay employer NI, then pass the rest onto payroll company, who'd sort out the tax etc as before. Pass to ltd and I pay as salary.

So they're trying to come up with a rate for AFTER NI... Is there such a calculator out there?

For instance, if a company has £100K, how much should the salary be for an employee so as total costs a= this £100K?

[psychocandy]

Ah and of course you need to consider the apprentice allowance thing? 0.5%

[northernladuk]

Will your agent be OK with this. It's one thing managing to find some solution, it's another getting the agent on board.

[TheFaQQer]

Ah and of course you need to consider the apprentice allowance thing? 0.5%

Who employs you? Who has the payroll bill? Because that's where the levy comes into it.

This is where taking professional, qualified advice (that you may have to pay for) becomes much better than guessing on the internet.

Maybe the helpline can give you the accurate information that you require - Email [email protected] Telephone 0800 0150 600

[northernladyuk]

At the moment, whole lot gets shoved to umbrella who take out employer NI, their margin, then do the relevant personal taxation.

Im trying to move to using limited but using a payroll company. In this case. agency would pay employer NI, then pass the rest onto payroll company, who'd sort out the tax etc as before. Pass to ltd and I pay as salary.

So they're trying to come up with a rate for AFTER NI... Is there such a calculator out there?

For instance, if a company has £100K, how much should the salary be for an employee so as total costs a= this £100K?

WTF

[psychocandy]

Will your agent be OK with this. It's one thing managing to find some solution, it's another getting the agent on board.

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.

[psychocandy]

Who employs you? Who has the payroll bill? Because that's where the levy comes into it.

This is where taking professional, qualified advice (that you may have to pay for) becomes much better than guessing on the internet.

Maybe the helpline can give you the accurate information that you require - Email [email protected] Telephone 0800 0150 600

Agency pays employer NI, and I assume levy. 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.

[TheFaQQer]

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.

I bet they don't offer it for long once they realise what a pain in the backside this all is for them and they get no benefit from doing it.

[northernladyuk]

I bet they don't offer it for long once they realise what a pain in the backside this all is for them and they get no benefit from doing it.

Good job they picked a 'no fuss' contractor to try it out with.

[eek]

Agency pays employer NI, and I assume levy. 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.

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....