Part Time Second Job Options

[saloni_2006]

I'm currently on a full time permanent role(Programmer).Due to financial crisis I'm planning to take up a part time(out of office and week end) programming jobs in my local area. what are the best options for me in terms of billing.
Is it best to open a sole trader company or use an umbrella company for billing. To start with i will be doing only a few hours per week.

[Hex]

It depends what you can get away with. If whoever is paying you will allow you to be self employed (sole trader) then that will probably give you a greater take home pay than going through an umbrella. If they will not allow you to take the money as self employed then you will have to either set up your own limited or use an umbrella. The stickies at the top discuss the pros and cons of these.

[saloni_2006]

Thanks for your response and time Hex.
Yes, the client is OK with the self employed option.
Also, i believe i don't have to register a business name when taking the sole trader option. Correct me if i'm wrong.

Thank you once again.

[Hex]

I'm not an expert, but I don't think you need any trading name if you're going to be sole trader (by which I mean self employed). If the client is happy to pay you as self employed then I reckon this is good for you. An umbrella would almost certainly end up costing you more than being self employed, particularly for just a few hours a week.

Most clients won't let you contract to them as self employed, because if you don't pay your tax correctly then the Revenue can come after them for the taxes if you they can't get them from you.