Contractor Pensions

[Doc1]

HI

First time post...I am a clinician caught under IR35. Can my Umbrella Company deduct the employers pension contribution from my payment if I decide to go with their Pension provider?? They are currently deducting employers NI.

Thanks in advance

[northernladuk]

HI

First time post...I am a clinician caught under IR35. Can my Umbrella Company deduct the employers pension contribution from my payment if I decide to go with their Pension provider?? They are currently deducting employers NI.

Thanks in advance

https://forums.contractoruk.com/acco...a-company.html

In fact here they all are...

https://www.bing.com/search?q=employ...29&adlt=strict

If you are already with an umbrella then ask them, they are your employer and should be your first port of call for issues related to your employment.

If you aren't with one already then speak to ContractorUmbrella. Lucy who runs the show is a regular contributor here. They also have a pretty comprehensive page on pensions here...

https://www.contractorumbrella.com/pension.html

[lucyclarityumbrella]

Can my Umbrella Company deduct the employers pension contribution from my payment if I decide to go with their Pension provider?? They are currently deducting employers NI.

Hi Doc1
The employers contribution for pension and NI are deemed to be met from the contract rate before your taxable salary is arrived at. Your salary is only available once the employment costs have been met.
HTHs

[Fred Bloggs]

HI

First time post...I am a clinician caught under IR35. Can my Umbrella Company deduct the employers pension contribution from my payment if I decide to go with their Pension provider?? They are currently deducting employers NI.

Thanks in advance

Look into salary sacrifice for pension contributions.

[Irishbar]

Pension Contribution for Contractor in Umbrella Company

Hi

I was guided here by some helpful advice on other threads so hopefully someone can help me.

Can someone please give me some guidance with regards to my options on a pension contribution. I work through an Umbrella Company at the moment (due to IR35) I know now that I currently contribute very little to the company pension but I was to withdraw this and invest in a SIPP with HL. I just want to know the optimal amount to be investing each week for tax efficiency purposes (al also to built a sufficient nest egg for myself). I would hope to pay this from my gross pay in order to reduce my tax bill.

I can give you the run down of my figures if this helps?

Any help would be greatly appreciated.

[lucyclarityumbrella]

Hi

I was guided here by some helpful advice on other threads so hopefully someone can help me.

Can someone please give me some guidance with regards to my options on a pension contribution. I work through an Umbrella Company at the moment (due to IR35) I know now that I currently contribute very little to the company pension but I was to withdraw this and invest in a SIPP with HL. I just want to know the optimal amount to be investing each week for tax efficiency purposes (al also to built a sufficient nest egg for myself). I would hope to pay this from my gross pay in order to reduce my tax bill.

I can give you the run down of my figures if this helps?

Any help would be greatly appreciated.

Your umbrella should be able to help if you know what you need to net each week / month, but the likelihood is that you will need to pay into their pension scheme in order to gain the tax relief via salary sacrifice. You should also be able to work with their pension provider to help in terms of long term planning for the pension.

[northernladuk]

[northernladuk]

Your umbrella should be able to help if you know what you need to net each week / month, but the likelihood is that you will need to pay into their pension scheme in order to gain the tax relief via salary sacrifice. You should also be able to work with their pension provider to help in terms of long term planning for the pension.

From what I read in PC and others posts not many Umbrellas are really interested in this though. It's minimum contributions and that's it. They aren't going to be too helpful for longer term planning will they? They exist to meet the requirements of the law and nothing else.

Of have things change and brollys are offering better pension offerings?

[Irishbar]

Your umbrella should be able to help if you know what you need to net each week / month, but the likelihood is that you will need to pay into their pension scheme in order to gain the tax relief via salary sacrifice. You should also be able to work with their pension provider to help in terms of long term planning for the pension.

Hi Lucy

Many thanks for your help. I get paid into the umbrella and they subtract all the relevant taxes and pensions contribution. I think my contribution is relatively low at the moment but can you tell me whether they, as my employer, are bound to contribute to my pension also? My gross pay is around £1258 weekly and given expenses etc taken into account my take home is around £920-940 on average. Is there a way to secure a decent contribution whilst minimising the reduction in my take home pay?

Thanks

[Irishbar]

From what I read in PC and others posts not many Umbrellas are really interested in this though. It's minimum contributions and that's it. They aren't going to be too helpful for longer term planning will they? They exist to meet the requirements of the law and nothing else.

Of have things change and brollys are offering better pension offerings?

yes I would agree with this, I have contacted my brolly and their pension provider and they are of little help. I was hoping to withdraw my pension an set it up with a SIPP in HL if that is possible.