Reply to: IPSE+/QDOS TLC35, Company Pensions, etc etc etc

[northernladuk]

Argghhhhh!

[mudskipper]

Thanks guys

Everyone's advice is much appreciated. The main thing for me is to have a company pension (as I really do need to make provision and I may as well do it as tax efficiently as possible) and given that returns aren't guaranteed, to keep fees low. I will check out everyone who has been recommended and I have a meeting with my tax adviser on Thursday. I have not always been as aggressive as I legally could have been on tax mitigation, but given the dividend tax, I'm going to be addressing that. On the other hand, as I always leave a decent amount in the company bank account as retained profit (given that I can be 3 - 6 months between contracts at bad times) the corporation tax news is a little more cheerful.

It's the end of my CAP today and I will be signing up with IPSE+ first thing tomorrow

AIUI, if there's any chance you want to back date pension payments, then you need to get a pension (any one will do!) in place before the new tax year.

Be very careful about which link you click for IPSE+. They aren't all the same.

WHS. This link is the one you need.

[WordIsBond]

It's the end of my CAP today and I will be signing up with IPSE+ first thing tomorrow

Be very careful about which link you click for IPSE+. They aren't all the same.

[Morgs]

Thanks guys

Everyone's advice is much appreciated. The main thing for me is to have a company pension (as I really do need to make provision and I may as well do it as tax efficiently as possible) and given that returns aren't guaranteed, to keep fees low. I will check out everyone who has been recommended and I have a meeting with my tax adviser on Thursday. I have not always been as aggressive as I legally could have been on tax mitigation, but given the dividend tax, I'm going to be addressing that. On the other hand, as I always leave a decent amount in the company bank account as retained profit (given that I can be 3 - 6 months between contracts at bad times) the corporation tax news is a little more cheerful.

It's the end of my CAP today and I will be signing up with IPSE+ first thing tomorrow

[Fred Bloggs]

I though I'd check what HL would charge me. £2250 a year! I'm currently paying £300 a year at Youinvest, and when I swap a couple of funds I hold for equivalent ETFs that will go down to £100. I think there are one or two other places that would also only charge £100. (Interactive Investor, possibly, but I haven't checked for the purposes of this post.)

Really, over £2000 versus £100 for the same core service, and yet somehow countless people on here are willing to recommend HL?

Am I being naive thinking that essentially the purpose of these sites in to be an on-line stockbroker? And that there can't be a a £2000 difference in the quality of their ability to facilitate the buying, holding and selling of shares?

Unless HL are sending an attractive woman round to your house several times a year to provide personal services, I don't get why people are using them. People always talk about the good service, but I can never understand what they mean by that. It's not complicated to buy/sell shares on even the crappiest web site, and there's nothing else a broker needs to do for you. (Am not saying the cheap brokers have crappy web sites, I'm just saying it wouldn't matter if they did.)

Essentially, you're right. That's why-

1. I said I'm in the process of leaving HL.

2. I pointed out the high fees up front.

I've no negative things to say about HL other than they're expensive unless you have a moderately small account.

[northernladuk]

Join IPSE Today and be a better contractor.

[IR35 Avoider]

HL have the best on line platform by miles. They are not cheap, 0.45% platform charge, but that doesn't really matter unless you have a bunch of money invested, then it is cheaper to use a flat rate charge platform. I'm now transferring away from HL because of that, but I'm going to miss the HL platform, it's very good.

I though I'd check what HL would charge me. £2250 a year! I'm currently paying £300 a year at Youinvest, and when I swap a couple of funds I hold for equivalent ETFs that will go down to £100. I think there are one or two other places that would also only charge £100. (Interactive Investor, possibly, but I haven't checked for the purposes of this post.)

Really, over £2000 versus £100 for the same core service, and yet somehow countless people on here are willing to recommend HL?

Am I being naive thinking that essentially the purpose of these sites in to be an on-line stockbroker? And that there can't be a a £2000 difference in the quality of their ability to facilitate the buying, holding and selling of shares?

Unless HL are sending an attractive woman round to your house several times a year to provide personal services, I don't get why people are using them. People always talk about the good service, but I can never understand what they mean by that. It's not complicated to buy/sell shares on even the crappiest web site, and there's nothing else a broker needs to do for you. (Am not saying the cheap brokers have crappy web sites, I'm just saying it wouldn't matter if they did.)

[Fred Bloggs]

I'll have a look at Hargreaves Lansdown, I'm also looking at the IPSE Futures.

HL have the best on line platform by miles. They are not cheap, 0.45% platform charge, but that doesn't really matter unless you have a bunch of money invested, then it is cheaper to use a flat rate charge platform. I'm now transferring away from HL because of that, but I'm going to miss the HL platform, it's very good.

[TheFaQQer]

Thanks Malvolio, I will do that. I think I have already got to the point of deciding on IPSE+ rather than the standard offering, seems silly not to for the price difference.

To make it even easier, why not use this handy link to join up?

[Morgs]

...but also look at IPSE's offerings. They are a lot more than IR35 protection.

Thanks Malvolio, I will do that. I think I have already got to the point of deciding on IPSE+ rather than the standard offering, seems silly not to for the price difference.

[Morgs]

You're on the right track. Sign up for IPSE+, then you do not need QDOS TLC35 as well. QDOS are fine for PII/PLI etc. For your pension, open a SIPP with Hargreaves Lansdown and set up a monthly payment from YourCo into the SIPP. Loads of info around on good funds to invest in. Be careful who you listen to if they suggest tracker funds though, IMO.

Thanks Fred, that's really helpful. I will maybe hold fire on the TLC35 though, I don't think I will need it but all of the talk currently is making me a little paranoid - I wondered if it worth just paying a couple of hundred pounds to cover taxes (I'd only need the smallest amount, I've had a fair amount of time off between contracts in that last 6 years).

I'll have a look at Hargreaves Lansdown, I'm also looking at the IPSE Futures.

[malvolio]

You're on the right track. Sign up for IPSE+, then you do not need QDOS TLC35 as well. QDOS are fine for PII/PLI etc. For your pension, open a SIPP with Hargreaves Lansdown and set up a monthly payment from YourCo into the SIPP. Loads of info around on good funds to invest in. Be careful who you listen to if they suggest tracker funds though, IMO.

...but also look at IPSE's offerings. They are a lot more than IR35 protection.

[Fred Bloggs]

You're on the right track. Sign up for IPSE+, then you do not need QDOS TLC35 as well. QDOS are fine for PII/PLI etc. For your pension, open a SIPP with Hargreaves Lansdown and set up a monthly payment from YourCo into the SIPP. Loads of info around on good funds to invest in. Be careful who you listen to if they suggest tracker funds though, IMO.

[Morgs]

But is he an IR35 expert?

Not specifically, but he's very high up in the contracts world and all of the rules and regs, including IR35.

It makes it easier for me in that I'm a project manager, so I am usually taken on by clients who need help with a very specific issue for a set period of time. Although I have been asked by clients in the past to undertake additional work on different projects, which I believe I need to be careful about as it complicates things! But I have never been BAU, and I always have autonomy to do things my way, so long as I deliver to the requirement, which is obviously helpful for SDC. What I have always been concerned about is making sure that the contract reflects that I legitimately am in no way a disguised employee. As soon as I have sorted out whatever challenge it is for the client, I will be out of the door and looking for my next contract.

[northernladuk]

I'm lucky in that I have a personal friend who is a contracts solicitor. To be fair to the agencies, it's all been ok so far - but I wouldn't like to have no third party reviewing. I know the basics but I certainly don't consider myself an expert, especially with the constantly changing legislation.

But is he an IR35 expert?