Outrageous Umbrella Expenses

> this is what happens when you get on the right side of a good bottle of wine...

>How are you feeling this morning Cojak?

The bit that is sore depends on whether "right side of a good bottle of wine" refers to the wine or the bottle

How are you feeling this morning Cojak?

Jacko,
If he works for an umbrella company, then he is a permie (i.e a member of staff)

I wouldn’t worry about it too much cdj. If all your expenses were receipted, then you should be OK. Some people claim expenses which are not receipted, and were never actually incurred.

What's it like to be so smart?

Nope, I don't get paid sick but I have a holiday fund.
How come if they are paying my tax and NI I have to keep copies of expenses?

I work amongst all permies or temps so no-one to bounce ideas off and no guidance from the brolly company (surprise, surprise) I've been a permie for 15 years and my contracting days before that were as a ltd company!

Any other gems?

I never send originals to anyone.

ABSOLUTELY!!!

That's what scanners are for!!!!
(zeit & cojack - wadda team... )

you on the other hand cd, are the sort Hectors love - A SUCKER!!!! :lol :lol

Why would I need to keep copies or the originals?
When working for companies as a permie I never did?

Because you're not a permie any more you dork - YOU'RE A CONTRACTOR. (Although, fair play, you might have missed this point - do you get paid for sick leave and holidays?)


(nb. this is what happens when you get on the right side of a good bottle of wine.....)

Why would I need to keep copies or the originals?
When working for companies as a permie I never did?
Why is it different working for an umbrella - surely receipted expenses is their responsibility??????

I never send originals to anyone.

They get photocopies.

If they want to see the originals, they make an appointment.

Now you've got me worried.
I get paid by an umbrella company and I sent all receipts to them (parking, stationery etc) so I get the money back under the dispensation scheme.
I am soon to leave them (they pay late, get it wrong and now it seems could be heading for administration).
Am I likely to have problems with the taxman?

Re: re:Outrageous Umbrella Expenses

I had my expenses investigated about 2 years ago.

Eventually said that I owed them £26 after photocopying myriad receipts and credit card statements and submitting mileage sheets etc.

After all of which they came to the conclusion that they owed me 46p.

"It's a mystery, oh, it's a mystery" etc.

re:Outrageous Umbrella Expenses

This practice is extremely dodgy and unfortunately if there is any fallout it will be us contractors who will have to stump up for any tax hit. The only one i know who operate in this way is Prosperity 4.

Thanks for that explanation Planetit.

I used to claim the same sort of travel expenses through my company and am almost certain they never appeared on my P11D, so it looks like the umbrella dispensation means nothing at all.

I had all my expenses investigated by the Inland Revenue about three years ago. Luckily I had receipts and travel records to back up my claims so got a clean bill of health.
I would think that anyone who claims unreceipted expenses to the level recomended by some of these umbrella companies would be in serious trouble in a similar investigation where I had to justify everything.
Has anyone experienced a Revenue investigation under these circumstances?

Yes they are misleading clients (IMHO). The dispensation is that the company (umbrella) does not have to declare the expenses on a P11D. The expenses still have to be legitimate.

I have heard that a number of umbrella companies offset their high charges and limited legitimate expense claims potential by encouraging clients to claim large unreceipted expenses whilst working away from home.
I have heard amounts of £75 a day mentioned and the justification - well they have government dispensation apparently ???
Does anyone know what this dispensation is ?
Surely no government would ratify an agreement that allows clients of an umbrella company to claim ficticious expenses, particularly in the current climate.
Are these umbrella companies misleading their clients with half truths?