Reply to: Another Newbie with some questions.... sorry

[dmini]

Agree about the fees being rather high, don't know about customer service as I've never used them, but if they pay more NI and income tax than they should then you'll get it back at the end of the tax year anyway.

Income tax - yes on the "easy claim route". NI is a pain - It used to take about 18 months after year end, for NI to tell you that you had overpaid, so you could claim back,
Parasol were playing that trick with NI on me 9 months ago when they did their system upgrade - clearly they haven't sorted their systems properly yet. I got back about 80%, but gave up on the rest - it wasn't a huge amount. I had to chase one of the directors to get the money back that I did - customer disservice ignored every email, after I replied to their "we are right and you are wrong" one.

[Mervalous]

I will 100% be going Ltd now but might as well avoid parasol and use one of the recommendeds from here.

[Cowboy Bob]

Yes if you have to brolley it then avoid Parasol. Fees are amongst the most expensive, customer service is poor and they deduct more NI and PAYE than they should.

Agree about the fees being rather high, don't know about customer service as I've never used them, but if they pay more NI and income tax than they should then you'll get it back at the end of the tax year anyway.

[pisces]

I'm gonna pee you off very quick now I can tell, OG also do LTD companies set up and manage as well not just umbrella

I have heard bad things about parasol and good things about OG, also someone at work uses 1st Option (also do LTD companies)

I promise I am listening, I didnt actually know PCG did do one so Ill go check that out....


dont leave me alone.... please... I promise to listen.....

Yes if you have to brolley it then avoid Parasol. Fees are amongst the most expensive, customer service is poor and they deduct more NI and PAYE than they should.

[Mervalous]

No
Perhaps
HTH

I think so
I hope so

[Troll]

Its a hell of a lot of work starting out in contracting

but I know it will be worth it

No
Perhaps
HTH

[Mervalous]

I even did my own searching and found this:

"SJD, 1st Accountancy and Nixon Williams" so Ill check those 3 out

[Mervalous]

You just didn't read item 10, did you?

10. Listen to Mal...

I used Nixon Williams.

They set up the company and got it a bank account with Flemings as it was then, now Cater Allen, with the added advantage of a waiver on the £5k min balance thingie.

There are other accountants who are respected on these pages & it ain't exactly difficult to find out who they are.

I did listen I promise, i was going to OG to use the LTD company thing, Ill have a search for accoutants as well though maybe if OG isnt rated here Its a hell of a lot of work starting out in contracting but I know it will be worth it, Im off for 2 weeks from today so Ill be doing a lot of reading over xmas

[Troll]

Surely he's had his quota...

[Mervalous]

I'm gonna pee you off very quick now I can tell, OG also do LTD companies set up and manage as well not just umbrella

I have heard bad things about parasol and good things about OG, also someone at work uses 1st Option (also do LTD companies)

I promise I am listening, I didnt actually know PCG did do one so Ill go check that out....


dont leave me alone.... please... I promise to listen.....

Jeez... Let me try again...


DO NOT USE AN UMBRELLA.

IF YOU DO, USE A GOOD ONE (hint: not OG...)

Go to Parasol, or kill two birds with one stone and use the PCG QU one, which is set up and run specifically for people who don't know one end of a smoking gun from another.

First rule of contracting - LISTEN TO WHAT MORE EXPEREINCED PEOPLE ARE SAYING.

OK, you're on your own now. Have fun.

[malvolio]

Jeez... Let me try again...


DO NOT USE AN UMBRELLA.

IF YOU DO, USE A GOOD ONE (hint: not OG...)

Go to Parasol, or kill two birds with one stone and use the PCG QU one, which is set up and run specifically for people who don't know one end of a smoking gun from another.

First rule of contracting - LISTEN TO WHAT MORE EXPEREINCED PEOPLE ARE SAYING.

OK, you're on your own now. Have fun.

[Mervalous]

ANother round of reading and going LTD, even in IR35 its still worth it in the end and makes more sense to be learning about it rather than having to learn it all later.

I was thinking about orange genie or 1st option who will basically set up everything for me and also be the accountant, would you guys then say NOT to use them but to use one of the recommened accountants from here and do the rest myself?

I was thinking to start it may be better for me to use something like orange genie while Im still learning, Id also use the other things mentioned to get contracts checked, a lot of joining up different things at the beginning this contracting lark

Ill make a list of what i think i need to join up with soon and post it here, that way someone can just easily look and tell me what I have no doubt missed. Also that way you wont have to all keep giving me advice every 5 mins, you can just add to me ever growing list lol.

And dont worry i like a bit of banter, i go on www.visordown.com its a motorbike sight and LOADS of banter on there so Im used to it

thanks again

p.s this is what orange genie will do for me:
Set Up

We will:

* Form the limited company, with your choice of name (provided it meets the rules).
* Open a business bank account, with Barclays Bank.
* Register the company for Corporation Tax.
* Register the company for VAT.
* Register the company for Payroll

Administration

For a fixed monthly fee we will:

* Provide you with a simple system to record your transactions.
* Run your Payroll to pay your salary.
* Complete and file VAT Returns, so you get VAT back on business costs.
* Act as Company Secretary for your company.
* Provide a Registered Office service for your company.
* Complete Dividend documentation for you to be paid dividends.
* Prepare and file annual accounts.
* Prepare and file year-end payroll returns.
* Prepare and file annual Returns.
* Prepare and file Corporation Tax returns.
* Handle correspondence with HMRC (previously Inland Revenue and Customs & Excise) and Companies House.


1st option are pretty much the same, no more accountant stuff needed there is there?

[Cowboy Bob]

Secondly thanks for the advice, Ill probably use one of those companies such as 1st direct or orange genie, just saves all the hassle expecially when first contracting.

Wouldn't bother with a brolly. Since the chancellor's pre-budget report the only two real options going forward from April are either PAYE direct with the agency (why pay fees to a brolly when the agency will do it for free) or your own limited.

From April, all brollies will be PAYE only with no claimable expenses (well only ones that a permie would normally be able to claim, so no milage to client site etc).

[malvolio]

Basic good advice, in no particular order:

1. Go Ltd with your own company
2. Use one of our recommended accountants until you know enough to make your own decisions. All three will set up the company for you, help with bank accounts (not simple) and give good advice.
3. Read all the guides you can find, the one here and www.pcg.org.uk at a minimum. Join the PCG and use their fora - not as much fun as these, but a lot more informed
4. Do not run before you can walk. Earn some money before you work out how much to pay yourself. Take the accountant's advice, not ours.
5. Until you know what you're doing, Keep It Simple.
6. Get contracts checked by B&C or Accountax until you know what you are looking for.
7. Do not assume you know everything for at least 18 months. There will be huge gaps...
8. Recognise that IR35 is voluntary. It is not that hard to be outside it, f you are careful and know what to look for.
9. Most important - this is your company, your life, your income. Don't screw it up. Contracting is not a game.

Good luck, keep us posted

[Mervalous]

quick one first, Male sorry

Secondly thanks for the advice, Ill probably use one of those companies such as 1st direct or orange genie, just saves all the hassle expecially when first contracting.

Can you let me know who you use for the insurance etc B&C were one company i had heard of though so i will make sure I check them out.