Should I trade as a Limited Company, umbrella or composite

[malvolio]

Mate, I've been contracting through a company called Highfordgroup, using a Limited company that they set up for me. Standard wage + dividends paid every month.

Thud....thud....thud....

[Captain Jack]

What do you think???????

Just wondered how long you've been working for Highfordgroup?

[The Lone Gunman]

Guys, I've been using a company called Highfordgroup for about five months now. They explained to me that no two contractors are the same and that we all fall into one of the three solutions, based on our own personal circumstances, the options were an Umbrella PAYE, Composite & a personal Limited Company. In the end I went for the Limited company option. (The main issue I was told was IR35). I was lucky seing that I am working from home, I am working on two contracts, and I am not working through a recruitment company. Hence I am not see as being employed. I am truly sefl employed. My retention is 85%, this slightly fluctuates based on my expenses. I have not had a problem up to now with payments, I fax a timesheet and promptly get paid direct into my account, and I receive an emailed payslip. All this for £30 per week. And they didn't charge me any set up charges for the company. (Gret Deal) What do you think???????

and £30 quid a week is too much!!!

[Captain Jack]

Do you think so. They deal with all aspects of running my limited company for me, they process my timesheets and expenses, pay the required tax & NI, I don't have any paperwork at all at the moment. Apart from the self assessment form at the end of the tax year.

Yes, this is way, way too much. That's £1,560/year FFS!

[malvolio]

Yes, this is way, way too much. That's £1,560/year FFS!

Yeah, I pay 2/3rds of that for a proper accountant (who also does all the other bits and the SA form) and most people around here think I'm paying over the odds.

They are not adding value to your bottom line, and are charging you for things that you don't need to be paying for. And you're a proper business??

And of course, IR35 is no part of the decision process - go umbrella if you are both terminally nervous and fully and genuinely caught by IR35 (both unlikely TBH) or your own Ltd otherwise. Or haven't you read this thread yet?

[Captain Jack]

Mal, he works for the umbrella in question and has been spamming other threads with ads. Best to just ignore him now.

[MarkOD]

LTD companies / umbrellas etc

I've only just started contracting in IT however by looking at various websites and speaking to them also parasol, giant, norla, no longer limited, orange genie among various others, all i imagine offer similar solutions but when speaking to them they all blow their own trumpet which is fair enough. However what would be the best one??? Is this the route i should go down or is there better options
advice would be much appreciated

[Pondlife]

Have you read the whole thread?

[MarkOD]

yeah i know it was a bit off the topic, was just trying to get a bit of an idea

[gregy38]

excessive accountants fees

The figures quoted regarding the 'take home' pay from the three methods ltd company, composite or umbrella :-

do the figures take account of the heavy 'extra' accountancy fees that are incurred in running your own limited company.

i.e paying fees when out of contract, heavy financial reference fees , high wind up charges etc. This would put a different complexion on the quoted figures