Apprenticeship levy

[glennmndrews]

can someone explain why i have to pay the Apprenticeship levy using an umbrella company when I don't earn more than 3 million as dictated by HMRC its the umbrella company that should be paying it

[NotAllThere]

You don't have to pay it. In the same way, you don't have to pay employers NI. However, the umbrella company - your employer - does. Now, where do you think they get the money to do that?

That's right. From the money that the client pays the agency which is paid to your employer, the umbrella company. I.e. "your" fee.

[eek]

You don't have to pay it. In the same way, you don't have to pay employers NI. However, the umbrella company - your employer - does. Now, where do you think they get the money to do that?

That's right. From the money that the client pays the agency which is paid to your employer, the umbrella company. I.e. "your" fee.

Also if you are inside IR35 you can't escape it if you are receiving deemed payments to your limited company (but that does depend on the size of the agency).

Basically - life is unfair you will have to life with it or maximise what you put in your pension.