Some background here, I am not an IT contractor, but a Solicitor practising in Family Law. This is the only forum I can find to ask for some advice.
Having recovered from illness I decided to do part-time Locum work instead of full time permanent employment. I was advised by the Agency to set up a limited company.
I set up a limited company and due to separating from my partner, I need to get back to earning. A part time locum position is available for 3 days a week working 6.5 hours a day. So my income is not so great.
Ok sob story over...just thought it would make sense to explain as you may think I'm mad setting up a limited company with only a gross income of around £25,000 a year for 46 weeks working!!
Anyway I need to decide whether to carry on with the limited company or go to a Umberella Company and wind the limited company up. I am hoping to get back to full time or increase to 4 days working a week. I am also looking at other options for a career which may or may not be on a self employed basis.
The questions I have are:
1. If I am withing ir35 (which I will be checking), but from my intensive research over the weekend (all day yesterday!), it appears I will be. Can I claim mileage at 40p a mile under s98 legitimate expenses for travel to and from the solicitors office where I am to carry out duties? It is a 126 mile trip each day.
2. I have gone to the trouble of setting up a limited company and I am applying for a Business Bank account otherwise wouldn't get paid by the Agency other than as an employee of the Agency. Cos of personal issues, I don't think at the moment I can do the admin myself for the limited company, including payroll. Accountant's seem to charge a fixed fee of around £95 plus VAT a month for their services to include PAYE. It does not make financial sense on a gross income of £25,000 to pay this fixed fee for an accountant if I'm within ir35.
However, umbrella have varied charges and the one pcg recommend (Parasol) charge £79.95 a month for their services. But Giant charges £32.00 a month.
What I am getting at is if I cannot claim mileage of 126 miles a day as a legitimate s98 expense then even taking account 5% admin charges, it would appear in my circumstances at present I would be better off as an employee of the Agency? On the other hand, I don't want to wind up my company having gone to the trouble of setting it up!!
Your help would be much appreciated...pretty please....
Having recovered from illness I decided to do part-time Locum work instead of full time permanent employment. I was advised by the Agency to set up a limited company.
I set up a limited company and due to separating from my partner, I need to get back to earning. A part time locum position is available for 3 days a week working 6.5 hours a day. So my income is not so great.
Ok sob story over...just thought it would make sense to explain as you may think I'm mad setting up a limited company with only a gross income of around £25,000 a year for 46 weeks working!!
Anyway I need to decide whether to carry on with the limited company or go to a Umberella Company and wind the limited company up. I am hoping to get back to full time or increase to 4 days working a week. I am also looking at other options for a career which may or may not be on a self employed basis.
The questions I have are:
1. If I am withing ir35 (which I will be checking), but from my intensive research over the weekend (all day yesterday!), it appears I will be. Can I claim mileage at 40p a mile under s98 legitimate expenses for travel to and from the solicitors office where I am to carry out duties? It is a 126 mile trip each day.
2. I have gone to the trouble of setting up a limited company and I am applying for a Business Bank account otherwise wouldn't get paid by the Agency other than as an employee of the Agency. Cos of personal issues, I don't think at the moment I can do the admin myself for the limited company, including payroll. Accountant's seem to charge a fixed fee of around £95 plus VAT a month for their services to include PAYE. It does not make financial sense on a gross income of £25,000 to pay this fixed fee for an accountant if I'm within ir35.
However, umbrella have varied charges and the one pcg recommend (Parasol) charge £79.95 a month for their services. But Giant charges £32.00 a month.
What I am getting at is if I cannot claim mileage of 126 miles a day as a legitimate s98 expense then even taking account 5% admin charges, it would appear in my circumstances at present I would be better off as an employee of the Agency? On the other hand, I don't want to wind up my company having gone to the trouble of setting it up!!
Your help would be much appreciated...pretty please....
