Self billing question

[FiveTimes]

I self bill, do manual timesheets and send invoices (via the PSC). No problems so far. I self billed in my last contract... again no problems.

I just submit a timesheet, no need to send invoice. The timesheet is submitted on Monday morning, and Friday the payment is in and cleared. There is also the paper work at home on Friday.

Great system and really easy. Maybe different agencies operate different

[pmeswani]

I just submit a timesheet, no need to send invoice. The timesheet is submitted on Monday morning, and Friday the payment is in and cleared. There is also the paper work at home on Friday.

Great system and really easy. Maybe different agencies operate different

The Agency that got me the job insists on an invoice and a timesheet. I don't mind either way, doesn't take long to do. I fax my timesheet over to the agency, and update the online portal for the PSC to raise the invoice. At least I get a record of when the invoice has been sent from the PSC (I manually enter it into my Accounting package for reference) and a copy of the timesheet and get paid about a week later. However, the agency that the client employs enforces self-billing. Typical man-in-the-middle type of employment.

To answer the original point, self billing is just a method of reducing paperwork (from my understanding).

[malvolio]

To answer the original point, self billing is just a method of reducing paperwork (from my understanding).

Actually, no. It is a legalisation that allows a supplier to deliver invoice and get paid via EDI in a paper-free environment and was designed primarily for Just-in-Time manufacturing and supply chains and not as a way for agencies to cut down on their clerical support. Which is why the official guidelines and Ts&Cs allow one side or the other to impose it unilaterally as a condition of doing business; obviously a one-way EDI system won't work.

Equally the delivery triggers the payment in a self billing arrangement - so think about it, why do you need a timesheet signed by a third party to complete the transaction?

[FiveTimes]

Wrong person quoted Mal

[malvolio]

Wrong person quoted Mal

Oh yes... Oops..

[EvilWeevil]

For admin, it's useful. For IR35 it's irrelevant. For accounting purposes though, it's a PITA and you find yourself raising dummy invoices to keep the audit trail straight. And many of them seem not to understand VAT very well either.

I don't think it's the selfbills or the invoices that understand VAT; it's the agency itself. It seems to me that self-billing is generally a way to get money into your company quicker. Which is good. And the rest of the variances are down to individual agencies.