Reply to: Accounting

[fidot]

And it's based on a fairly low day rate of £180

[cojak]

Morning all.

First post but felt the need to offer some reassurance. I am the founder and MD of Pulse, a former contractor for 10 years prior to my Pulse adventure. So firstly "Hello".

Just to reassure the OP and anyone else who may need it:

Pulse does not offer any schemes, planning, loopholes etc etc. I realise the 85% may sound like that, but hey, the calculation is the calculation. We offer UK accountancy, through FreeAgent utilising salary, dividend, flat rate VAT and expenses. There's no planning, trickery, jiggery pokery or any other dubious practise involved. So apologies for offering good accountancy advice and keeping your tax bill low. If you want to take home less and pay more tax, then that's entirely up to you. Its your ltd company!

Obviously this illustration is for marketing purposes, and is not an error. It's based on a set of assumptions like any other marketing message is and is based on a fairly low day rate of £180 with a decent amount of allowable expenses which could actually net you more than 85%.

We've been around since 2009, and have a great team of accountants to help you with what ever you need. We're happy to talk to anyone or provide an illustration for a limited company so get in touch if you want any further info.

Just to add we are associates of the FCSA, (not full members due to the cost) and we adhere to their operating and compliance policies at all times.

Thanks for reading.

Chris

Let'a not forget that you have to spend on expenses before you can claim it back, and any extra is dependant on whether the VAT is reclaimable.

[northernladuk]

Sorry, this is total baloney...This one point is quite an important point, the sort that reels in inexperienced contractors who are grabbed by high numbers being bounded around. There is no need to state clearly incorrect percentages on the first point of visual contact, which in my mind rings immediate concerns, regardless of how much additional research I would then go on to do.

Can't be baloney. You would be wrong on your call as has been pointed out multiple times. The evidence speaks for itself.

[kaiser78]

Which IMO is a pretty poor way of looking at it. The feedback above and a couple of minutes researching the site would prove otherwise. Researching is looking in to things not coming to rash and incorrect decisions on one point.

Sorry, this is total baloney...This one point is quite an important point, the sort that reels in inexperienced contractors who are grabbed by high numbers being bounded around. There is no need to state clearly incorrect percentages on the first point of visual contact, which in my mind rings immediate concerns, regardless of how much additional research I would then go on to do.

[WordIsBond]

I don't get those % take home things. We could get any client 100% take home entirely legitimately (or even a bit higher with VAT FRS). Just ensure they invoice no more than ~£8k net of VAT per year, and have no expenses other than their £671/month salary. Job done.

Quoted % take homes are a farce, ignore...but I wouldn't let that in itself put you off using Pulse.

Here's how I figure it.
£0-8050 -- 100%. (paid as salary, no IT, CT, or NI)
£8050-16K -- 80%. (paid as dividend, no IT or NI, 20% CT)
£16K-42K -- 74%. (paid as dividend, no NI, IT at 6% net on dividends, 20% CT)

Can't be bothered to calc it out, but the point at which you hit 85% looks like around £25K. So as long as you don't take more than about £25K out, and you do it in the most efficient way possible, you're fine.

And if your other half is a director with equal shares and pulls the same salary, you can get to about £50K income at 85% take home, give or take a couple thousand. If you can justify that salary, that is.

[northernladuk]

I guess it also depends on whether it's all about the money.

The short business case requirement for training (It's relevant, I want it, I need it, I can afford it, signed caffiend, authorised by caffiend) does it for me, I'm SO behind with prof development after too long perm. All tax deductible = BONUS.

What???

[caffiend]

I guess it also depends on whether it's all about the money.

The short business case requirement for training (It's relevant, I want it, I need it, I can afford it, signed caffiend, authorised by caffiend) does it for me, I'm SO behind with prof development after too long perm. All tax deductible = BONUS.

[northernladuk]

So if they're not a scheme, they're either deliberately deceitful or incompetent?

Why not just choose from one of the many recommended firms?

Well there is that I guess....

[Old Greg]

Just trying to add a bit of balance. There is a massive difference between some that's been a bit loose with their wording and the true schemes you need to avoid.

So if they're not a scheme, they're either deliberately deceitful or incompetent?

Why not just choose from one of the many recommended firms?

[ChrisPulse]

Pulse

Morning all.

First post but felt the need to offer some reassurance. I am the founder and MD of Pulse, a former contractor for 10 years prior to my Pulse adventure. So firstly "Hello".

Just to reassure the OP and anyone else who may need it:

Pulse does not offer any schemes, planning, loopholes etc etc. I realise the 85% may sound like that, but hey, the calculation is the calculation. We offer UK accountancy, through FreeAgent utilising salary, dividend, flat rate VAT and expenses. There's no planning, trickery, jiggery pokery or any other dubious practise involved. So apologies for offering good accountancy advice and keeping your tax bill low. If you want to take home less and pay more tax, then that's entirely up to you. Its your ltd company!

Obviously this illustration is for marketing purposes, and is not an error. It's based on a set of assumptions like any other marketing message is and is based on a fairly low day rate of £180 with a decent amount of allowable expenses which could actually net you more than 85%.

We've been around since 2009, and have a great team of accountants to help you with what ever you need. We're happy to talk to anyone or provide an illustration for a limited company so get in touch if you want any further info.

Just to add we are associates of the FCSA, (not full members due to the cost) and we adhere to their operating and compliance policies at all times.

Thanks for reading.

Chris

[northernladuk]

Seriously? 85% claim is a massive red flag. and it's there on the front page. There are a heap of reputable operators to choose from and you need to filter through them one way or another. Why pick these guys with a front page who present themselves in this way?

Just trying to add a bit of balance. There is a massive difference between some that's been a bit loose with their wording and the true schemes you need to avoid.

[Old Greg]

Which IMO is a pretty poor way of looking at it. The feedback above and a couple of minutes researching the site would prove otherwise. Researching is looking in to things not coming to rash and incorrect decisions on one point.

Seriously? 85% claim is a massive red flag. and it's there on the front page. There are a heap of reputable operators to choose from and you need to filter through them one way or another. Why pick these guys with a front page who present themselves in this way?

[Maslins]

I don't get those % take home things. We could get any client 100% take home entirely legitimately (or even a bit higher with VAT FRS). Just ensure they invoice no more than ~£8k net of VAT per year, and have no expenses other than their £671/month salary. Job done.

Quoted % take homes are a farce, ignore...but I wouldn't let that in itself put you off using Pulse.

[scooterscot]

Take home pay >90% = Sweating every day whether I'll get caught. Will be lucky if I don't have a heart attack by this time next year.

Take home pay >85% = Every other news story on IR35 I'm reading it top to toe, that court case could have been me.

Take home pay ~>80% = No worries. I'm sure it's alright. I can always plead ignorance, my accountant told me it was okay. Anyway I'm sure I'll have enough is a slightly larger than normal tax bill comes in.

Take home pay ~70% = I'm a chilled chinchilla, no one can touch me.


It all depends on what kind of life you want to live. I go for the stress free option myself.

[Alan @ BroomeAffinity]

Accounting

To the OP: this forum in an excellent resource for newbies - one reason is because of all the free advice accountants provide. Maybe you should consider one of those.