Hi, I'm new to Umbrella Companies and contracting in general, but I've read almost all of the information you guys have on Umbrella companies as well as many other sites and I have a couple of question/clarifications.
I'm attempting to choose a company from my agency's approved list, and a lot of them have mentioned tax relief. They're basically giving the impression that I will only have to pay half of their weekly net margins. From what I've read that sounds like complete tripe, am I right?
The expenses that I'll be paid are not dependant on the company I go with, despite what they say, am I right? So these little calculations they do should be ignored and I should only use their net pay margins to compare between them, along with the customer services they provide e.g online login portal, fast payment procedures?
Lastly, I suspect someone may advise that I start a Ltd company instead, so here are my circumstances; I've been independently studying IT for about 8 months and have been looking for work in the IT field to implement my knowledge in a real-life setting as I learn. I never even considered being a contractor before 4 days ago. I was contacted by a recruitment agency a couple of weeks ago because they'd seen my C.V online and thought I was perfect for a position they were recruiting for. I went to the interview and killed it, the offered me the job on the same day. I've been told that I need to choose an Umbrella Company at the employer's request. So, here I am trying to choose an umbrella company.
I don't think I WILL be doing this for 24 months, either my contract will be up and I'll leave for a better position or maybe they're doing this for a trial period and will take me on after that? I've assumed all of this, had no confirmation of this, I was just told to choose an Umbrella Company. Is this normal procedure?
I do really want this job, I think it's a great opportunity for me and I think I'll come out with great experience and some awesome stuff to add to my C.V, but this Umbrella stuff is screwing with my head. I wish I knew which companies were legitimately good and which companies aren't.
I'm attempting to choose a company from my agency's approved list, and a lot of them have mentioned tax relief. They're basically giving the impression that I will only have to pay half of their weekly net margins. From what I've read that sounds like complete tripe, am I right?
The expenses that I'll be paid are not dependant on the company I go with, despite what they say, am I right? So these little calculations they do should be ignored and I should only use their net pay margins to compare between them, along with the customer services they provide e.g online login portal, fast payment procedures?
Lastly, I suspect someone may advise that I start a Ltd company instead, so here are my circumstances; I've been independently studying IT for about 8 months and have been looking for work in the IT field to implement my knowledge in a real-life setting as I learn. I never even considered being a contractor before 4 days ago. I was contacted by a recruitment agency a couple of weeks ago because they'd seen my C.V online and thought I was perfect for a position they were recruiting for. I went to the interview and killed it, the offered me the job on the same day. I've been told that I need to choose an Umbrella Company at the employer's request. So, here I am trying to choose an umbrella company.
I don't think I WILL be doing this for 24 months, either my contract will be up and I'll leave for a better position or maybe they're doing this for a trial period and will take me on after that? I've assumed all of this, had no confirmation of this, I was just told to choose an Umbrella Company. Is this normal procedure?
I do really want this job, I think it's a great opportunity for me and I think I'll come out with great experience and some awesome stuff to add to my C.V, but this Umbrella stuff is screwing with my head. I wish I knew which companies were legitimately good and which companies aren't.
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