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Quickie on expenses

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    Quickie on expenses

    Can someone just confirm something for me.

    I work for an umbrella company, I pay 10% of my gross salary into a pension, I claim lets say for arguments sake £50 a week in schedule E expenses and I pay a fee to use the umbrella.

    I do not go into the higher tax bracket.

    Does my pension come off gross before Employers NI, employers NI and tax come off?

    Do my expenses come off gross before Employers NI, employers NI and tax come off?

    So for example if I claim £50 expenses do I actually get approx 40% back in my pocket or less?

    Thanks as this has lef tme a little confused.

    #2
    Strictly speaking, if you had your own company, expenses come off gross and personal pension off nett income - or you use a company pension scheme in favour of its director(s).

    You need to ask the umbrella how they are accounting for it but it is most likely following the same rules.
    Blog? What blog...?

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      #3
      Originally posted by damo111176 View Post
      Can someone just confirm something for me.

      I work for an umbrella company, I pay 10% of my gross salary into a pension, I claim lets say for arguments sake £50 a week in schedule E expenses and I pay a fee to use the umbrella.

      I do not go into the higher tax bracket.

      Does my pension come off gross before Employers NI, employers NI and tax come off?

      Do my expenses come off gross before Employers NI, employers NI and tax come off?

      So for example if I claim £50 expenses do I actually get approx 40% back in my pocket or less?

      Thanks as this has lef tme a little confused.
      Your expenses should come off Gross.
      If you are thru an Umb I would guess as an employee it could be either way - you should have some documentation to back this up.

      If they are off Gross, then thats nice and simple.
      If it's off Net, then you should get a "credit" from HMG to add onto your amount - your pension statement should provide you with the info.

      Or of course you could ask the umbrella, after all your paying for their service....
      Cenedl heb iaith, cenedl heb galon

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        #4
        I looked at the title and though it was someone who'd managed to work out how to put through an escort girl on expenses, I mean what else could a Quickie on Expenses mean?

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          #5
          Originally posted by boredsenseless View Post
          I looked at the title and though it was someone who'd managed to work out how to put through an escort girl on expenses, I mean what else could a Quickie on Expenses mean?
          All included in the Christmas party expenses.

          It says so in my dispensation.
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            #6
            Originally posted by TheFaQQer View Post
            All included in the Christmas party expenses.

            It says so in my dispensation.
            Eat Right, Exercise, Die Anyway.

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