Yes Umbrella

[webberg]

Unless you are a 20% tax payer - in which case you may bag nearer to 70% so dependent on earnings

A 12 month contract that pays say £42,000 a year gross attracts (in 19/20)

Tax £5,900
Em'ee NIC £4,004
Em,er NIC £4,604.

If the employee can command the above rate AFTER employer NIC (I.e. suffers just tax and em'ee NIC) and BEFORE umbrella fees, the deduction is £9,904 or 23.6% of the gross.

If the employee has to meet em'er NIC from the gross rate, the deduction (BEFORE umbrella fees) is £14,508 or 34.5% of gross.

[lucyclarityumbrella]

A fully compliant PAYE based umbrella will return you around low 60% of invoiced hours in terms of value.

Anything more is tax avoidance territory.

Unless you are a 20% tax payer - in which case you may bag nearer to 70% so dependent on earnings

[webberg]

A fully compliant PAYE based umbrella will return you around low 60% of invoiced hours in terms of value.

Anything more is tax avoidance territory.

[Ursicles]

Pretty much my thoughts - the promise of 70%+ return sounded a bit too good to be true.

Everyone wants to make more £, but not if HMRC going to send me a huge bill down the line.

[northernladuk]

Has anyone here used them - and is using them a bad idea?

No and a very big yes. There is nothing on their website except smoke and mirrors. Compare their website with a reputable company like Contractor Umbrella. Look at all the resources available on there including a transparent calculator to gice a guide of what you will earn. Yes have hidden their illustration away. Why on earth would they do that if it was all legit.

Run a mile.

While you are looking at Contractor Umbrella you might want to think about using them

Www.contractorumbrella.com

[Ursicles]

I wonder if anyone can help - have read the forums, and tried a few searches but nothing.

Im about to start my first inside IR35 contract after contracting for a while outside scope and need an umbrella company.

Looking at google, these guys came up and they are promising:

You will become an employee of our preferred Umbrella Company. As an employee, IR35 just isn't applicable so this is something you needn't worry about.

They will pay you a salary and pay all Tax and NIC's due on your behalf.

As a member of the Consultancy Network you will also be eligible to receive Profit Share.

There are a number of ways to receive the Profit Share, the most tax efficient of which is via a Capital Payment, which is fully disclosed to HMRC and is taxable.

Has anyone here used them - and is using them a bad idea?