April 5th Changes

[mictech]

Even if your inside IR35 you will be getting your home to work travel paid with ltd. You can kiss that goodbye with the brollies. Gordo will be

If you want the simple life be a permie and get of this board.

[jh0711]

doh oh righty then

it comes down to personal choice and life motivators - not eveyone is motivated by money - some just wanna do a job , get paid and have no hassles

if your values are being met and so your soul is being fed and you are not short of a bob or two then extyra money is not major!

[Bluebird]

usual ramblings of a muppet - not everyone can be arsed setting up a ltd company and also a large amount of agency contracts are caught by IR35 so setting up a LTD is just not the best option.

example £40 per hour high level project manager - yes go ltd
£13 per hour 1st line helpdesk - go umbrella you are likely to be controlled by the end client etc etc etc etc etc etc etc etc and thus caught by ir35

easy!!

maybe

you're right apart from the original message was a reply to a moan about having to go ltd.

As you say it's simple really if you're inside IR35 go brolly.
If you're outside go ltd.

If you're outside and go brolly don't moan about the fact that you have to Ltd to maximise your income - you can always [ be lazy ] stay brolly and kiss goodbye to 20-30% of you income.

[jh0711]

I hope more people have your lazy attitude, so gordo will get his tax cut and stop bothering the contractors who want to run a company in a tax efficent way.

usual ramblings of a muppet - not everyone can be arsed setting up a ltd company and also a large amount of agency contracts are caught by IR35 so setting up a LTD is just not the best option.

example £40 per hour high level project manager - yes go ltd
£13 per hour 1st line helpdesk - go umbrella you are likely to be controlled by the end client etc etc etc etc etc etc etc etc and thus caught by ir35

easy!!

maybe

[AZZIK]

cancel your invoices sent for this month through Giant and set up an limited comapany up. Speak to your agency explain the situation. I am sure they will be happy to hold off and can give you good advice. Send invoices through your limited comapny and then you should get paid for the last 2 months through your limited. If your thinking of continuing contracting then its worth even if your not it is pretty easy to set up. My contract runs out mid June and I am in the same situation as you and will be using the method I have suggested my agency were happy with me. I dont want to lose out 800 quid through an umbrella.

[mictech]

With an MSC currently which has worked great for me - contract defo finishes in May. Planning to switch to umbrella after end of tax year. Will reluctantly setup Ltd if I score another contract (they are a pain to run and double-pain when you want to close down).

I hope more people have your lazy attitude, so gordo will get his tax cut and stop bothering the contractors who want to run a company in a tax efficent way.

[lukemg]

With an MSC currently which has worked great for me - contract defo finishes in May. Planning to switch to umbrella after end of tax year. Will reluctantly setup Ltd if I score another contract (they are a pain to run and double-pain when you want to close down).

[boredsenseless]

The contract is between the agent and Giant. The agent has no deal with your Ltd. for anything, so they're just going to laugh at an invoice.

However, I've just thought of something: This will be the first month of the new tax year, so you can count the money from Giant as the first part of your year's salary. Say you get £5K gross for that month, and you were planning on paying £10K per year salary, well then you just pay £5K over the other 11 months and you're back where you wanted to be. You'll pay too much tax for that month, but get it back a year or so later after doing your self-assesment. Obvious really.



But I am not an accountant (and you should ask one).

Depending on how you structure the limited this may leave you issues regarding minimum wage for the next 11 months though. As said talk to an accountant.

[weboo]

I'm doing the same. Just setup a ltd company with my accountant and have contacted my agency to notify them that I will be changing Ltd company names. The agency have been very welcoming and have to do this for many others

I'll start invoicing from the start of the new tax year as my new company

[VectraMan]

why do you think I need to start a new contract? Could I just Invoice the agency directly for this month ? Since Giant is not able to provide the same service anymore, i should not think would be a problem.

The contract is between the agent and Giant. The agent has no deal with your Ltd. for anything, so they're just going to laugh at an invoice.

However, I've just thought of something: This will be the first month of the new tax year, so you can count the money from Giant as the first part of your year's salary. Say you get £5K gross for that month, and you were planning on paying £10K per year salary, well then you just pay £5K over the other 11 months and you're back where you wanted to be. You'll pay too much tax for that month, but get it back a year or so later after doing your self-assesment. Obvious really.



But I am not an accountant (and you should ask one).

[gallotta]

Thanks Vectraman,

why do you think I need to start a new contract? Could I just Invoice the agency directly for this month ? Since Giant is not able to provide the same service anymore, i should not think would be a problem.

Cheers

[VectraMan]

You need to end that contract and start a new contract with your new Ltd. company. I've no idea how happy the likes of Giant are to let you do that (or your agent), but I'd suggest it isn't worth the hassle for that one month. Just take the hit, and get your Ltd. set up now ready for the next contract.

[gallotta]

Become a real contractor and open up a Limited Company...

Thanks Cowboy Bob, that is what I am planning to do. Will this help me with the next payment though?

Cheers

[Cowboy Bob]

Any suggestion on how to get around this legally and still get dividends?

Become a real contractor and open up a Limited Company...

[gallotta]

I am with Giant at present, working as a contractor via their MSC.
The agency I am working for has their next pay round on April 6th, so Giant is claiming that they cannot pay dividends after April 5th and therefore I have to go PAYE.
Anybody else in the same situation? Any suggestion on how to get around this legally and still get dividends?

P.S. This is my last month and do not have a new contract lined up yet

Thanks in advance for any advice

Cheers