Reply to: Umbrella going into Administration-Liquidation

[lucyclarityumbrella]

The main ones recommended were adeptpay, goldfish, honest, umbrella zone and optimal pay . I’ve tried looking into these but it’s a minefield . As anyone actually heard of any of these ?

I'd do a quick companies house search - adept pay was only incorporated this month!

[eek]

Hi sorry if this isn’t allowed but I’m new to agency and umbrella services .
to cut a long story short , I’ve been offered a position but struggling with an umbrella service .
when I was offered the position I went via the net and Googled services and came across umbrella search which came back to me with a few agencies . However none were the one which the actually agency suggested . The main ones recommended were adeptpay, goldfish, honest, umbrella zone and optimal pay . I’ve tried looking into these but it’s a minefield . As anyone actually heard of any of these ?
they all seem to differ in what they can offer with the most being 71% take home which is about 60/70 pound per week more than each other .
I don’t know what to believe . All have given quotes over the phone with breakdowns . Some have emailed these over others havent . I’m just so confused

This is a strange thread to post your question in but let’s be clear

the firms that can afford to advertise are usually tax avoidance schemes that will just leave you in pain. Yep your take home pay will look like £70 more but they will be stealing money from you and HMRC that HMRC will ask you to repay later quite possible with fines on top.

if you want a trustworthy umbrella look Clarity Umbrella (who post on here) or at any of the ones Saferec audit.

And remember that the only difference between the amount a legitimate umbrella firm will pay you will be a £1 or £3 based on the margin they deduct.

[nicb1]

Hi sorry if this isn’t allowed but I’m new to agency and umbrella services .
to cut a long story short , I’ve been offered a position but struggling with an umbrella service .
when I was offered the position I went via the net and Googled services and came across umbrella search which came back to me with a few agencies . However none were the one which the actually agency suggested . The main ones recommended were adeptpay, goldfish, honest, umbrella zone and optimal pay . I’ve tried looking into these but it’s a minefield . As anyone actually heard of any of these ?
they all seem to differ in what they can offer with the most being 71% take home which is about 60/70 pound per week more than each other .
I don’t know what to believe . All have given quotes over the phone with breakdowns . Some have emailed these over others havent . I’m just so confused

[kalyan]

Just to repeat, any website promising you 75% return on your inside IR35 contract through the use of ‘imaginative’ fund management are LYING!!

They will take you cash and leave you to deal with HMRC for the tax the scumbags didn’t pass on.

Hi cojak,

Thank you for the clarification. It sounded to good to be true anyway. I will not be using them.

Kalyan.

[eek]

Just to repeat, any website promising you 75% return on your inside IR35 contract through the use of ‘imaginative’ fund management are LYING!!

They will take you cash and leave you to deal with HMRC for the tax the scumbags didn’t pass on.

Can I be blunt here

HMRC have spent 20+ years removing every loop hole that exists to avoid paying them tax. There are no legal loopholes that will help you avoid tax beyond large pension contributions if via an Umbrella (PAYE) or (if you are lucky enough) working outside IR35 via your own limited company

Agencies report to HMRC every quarter exactly how much they pay to every worker on their books. HMRC then compare that to what is being paid via PAYE and if it's not enough they do investigate.

In fact the only reason it now takes HMRC 5 months to send you a letter is because there is often a 5 month gap between you starting work and HMRC receiving the report. Warning letters are now sent within 1 month of the quarterly report being received and processed.

[cojak]

Just to repeat, any website promising you 75% return on your inside IR35 contract through the use of ‘imaginative’ fund management are LYING!!

They will take you cash and leave you to deal with HMRC for the tax the scumbags didn’t pass on.

[cojak]

It certainly isn’t tax efficient in IR35 when HMRC come for you, it’s only tax efficient for dodgy umbrellas when they scamper off with your tax and you have to pay for it twice…

(and let’s not forget the hefty commission that agents get for pushing you into these umbrellas…)

[hflapjack]

More help needed - Pace Pay Umbrella

Hey Cojak, I've jumped back on here as a new contract means I've got to find a new umbrella and that means the worries start again! Your post caught my eye and you was very helpful last time around. So issue is new agency has new list of umbrellas to choose from (oh joy!) and Pace Pay is being pushed on me as its with Professional Passport. So with knowledge gained on here and not taking anything as a safe easy option ive done some digging and Pace pay is based in Malta which seemed a strange place so more digging brought up that if in Malta they are only there cos to do dodgey tax avoidance. Can you or anyone help me with info on Pace Pay and it being from Malta? Cant afford to miss the chance with new contract but dont want to be stung by HMRC! Cheers.

How did it go with them? I am also being pushed towards PACE Pay because of their "tax efficient model" regarding IR35, but I didn't think there was anything tax efficient about IR35.

[eek]

I was just about to sign up with one on Professional Passport. I used them briefly a couple of years ago. Which do you recommend now?

That comment comes from August 2020 and Crawford is getting a lot better at identifying the bad eggs (not perfect but not great).

Our go to for a lot of reasons would be Clarity and it's a while since I've looked at PP's list (that's a new year job when I start flogging what I've finally finished and got working).

[Delectable]

As I've said before and I will say again Professional Passport's list of umbrellas contains some of the dodgiest firms I've seen in years and it's not a great list for other options if that is who you need to choice from - if you have to pick one I've heard of Contractor Co-op (as they used to occasionally post on here) and don't remember seeing flaws in their offering


It's worth reading Tackling promoters of mass-marketed tax avoidance schemes - GOV.UK but I can't find on it the bit I was looking for - which is the act covering promoting of schemes as that is the bit that makes the agency liable...

Seperately the "Case study on the use of real time information" is useful for others to understand what HMRC are doing - it's worth noting that just using a known scheme for a month is enough to trigger an investigation...

I was just about to sign up with one on Professional Passport. I used them briefly a couple of years ago. Which do you recommend now?

[Phes]

To be honest never heard of any of them Dark Blue and Hero seem to have linked Directors, so may be connected somehow. As I always say, the best thing to do is to pick up the phone to them and make sure you can get all the answers you need

I've recently come across a list on Opencorprates that links all crooked AML/Knox umbrellas. Don't let them sting you like they me (and countless other contractors)

https://opencorporates.com/corporate...of%20Companies

[eek]

A new phrase to watch out for. Annuity and / or Annuity payments see HMRC compliance check letter regarding disguised remuneration scheme - Page 2 (contractoruk.com)

[eek]

From some research on what salary sacrifice options are still valid I've just found Am I employed, self-employed, both, or neither? | Low Incomes Tax Reform Group

which mentions a few things to watch out for.

[eek]

Just to add another thing to look out for as I check my email..

Umbrellas offering Signing on / joining bonuses !!!!

Given that legitimate umbrellas are a high cost volume business ask yourself where the money is coming from as a legitimate umbrella doesn't have £25 to give you let alone the £500 to £1000 I've just seen.

[eek]

Please don't publish anymore - I would prefer to keep the story on Nathaniel quiet until I'm in a position to launch.