do any umbrellas have childcare vouchers?

**pmeswani** · 12 September 2008, 11:47

Originally posted by MPwannadecentincome View Post

I 'm disappointed to find out that Parasol do not run a childcare voucher scheme potentially saving tax and NI on upto £55 per week for those of us with young kids.

I've found posts on how to do it as a ltd company (http://forums.contractoruk.com/592701-post14.html) which I may follow up next week when I have time next week to work out the benefits of ltd vs umbrella, but in the meantime if anyone is working for a good reputable umbrella company that has such a scheme please let me know in case I decide to switch.

Thanks in advance for any tips!

I believe you may be contractually obliged to stay with Parasol until the end of your current contract. When I was with Parasol, I was disappointed that their own IFA persistently recommended the Parasol EPP scheme as the most tax efficient pension scheme.

**basshead** · 12 September 2008, 11:55

Originally posted by pmeswani View Post

I believe you may be contractually obliged to stay with Parasol until the end of your current contract.

Not true.

If you can agree with your client to terminate your current contract with Parasol and give you a new one with your Ltd there's no problem. Or at least there wasn't when I did exactly that less than 2 years ago

**pmeswani** · 12 September 2008, 12:11

Originally posted by basshead View Post

Not true.

If you can agree with your client to terminate your current contract with Parasol and give you a new one with your Ltd there's no problem. Or at least there wasn't when I did exactly that less than 2 years ago

My statement still holds true. You are asking the client to terminate the contract and issue a new one. Therefore the contractor is obligated to use Parasol until their contract has finished. I didn't say when it had to end.

**original PM** · 12 September 2008, 12:12

you can leave Parasol like any other employee - effectively you and the agency give notice to Parasol that the contract is terminating then you and agency set up new contract with ltd/ other brolly.

i believe they have a 1 month notice period in the contract which they may hold you to - they also may try and hold the agency to the notice period on their contract.

On the flip side of this you and the agency can give a relevant notcies but in the meantime set up new contract and work under that - all that Parasol will see is that they are no lober recieveing timesheets from you and payments from the company - they may look into it but I doubt it.

After the relevant time period your P45 should drop through the door and away you go!

not sure if they can see any cost benefit in doing child care vouchers - they earn no money from it. (on the surface - obviously it would become a usp assuming no other brolly does it or if another brolly does it then they are back to level playing field status)

**MPwannadecentincome** · 12 September 2008, 12:41

Originally posted by original PM View Post

not sure if they can see any cost benefit in doing child care vouchers - they earn no money from it. (on the surface - obviously it would become a usp assuming no other brolly does it or if another brolly does it then they are back to level playing field status)

Well they are here to serve us their customers surely! Fair enough if it costs money to administer the scheme then they may have to deduct an extra fee for it as long as this is significantly less than the tax and NI benefit it should be worthwhile to all with young kids.

Maybe the problem is that the younger contractors (no kids) outnumber us older ones!

**original PM** · 12 September 2008, 12:45

Maybe the problem is that the younger contractors (no kids) outnumber us older ones!

it is a possibility - it may also be that the people making the decsions see no benefit as they have no children of an age where childcare vouchers would be a benefit.

my missus gets them where she works and it does save us in the region of about £1000 per year.

if i got them as well it would be another £1000

can go on holiday with £2k!!!

I'm coming free from my contract soon maybe I should drop them a line see if they want a decent PM to get it done!

**basshead** · 12 September 2008, 12:46

Originally posted by pmeswani View Post

Therefore the contractor is obligated to use Parasol until their contract has finished.

True

**MPwannadecentincome** · 14 September 2008, 22:47

Originally posted by original PM View Post

it is a possibility - it may also be that the people making the decsions see no benefit as they have no children of an age where childcare vouchers would be a benefit.

my missus gets them where she works and it does save us in the region of about £1000 per year.

if i got them as well it would be another £1000

can go on holiday with £2k!!!

I'm coming free from my contract soon maybe I should drop them a line see if they want a decent PM to get it done!

Spot on originalpm - its a worthwhile benefit!

do any umbrellas have childcare vouchers?