Upgrade to ChromeUpgrade to FirefoxUpgrade to Internet ExplorerUpgrade to Safari

27 August 2020

As a contractor, you may find that your assignment falls inside IR35. So what options do you have if trading via a limited company is just not viable?

You might consider using an umbrella company like SmartWork or elect to go on your agencies payroll if they offer this.

The two options are very similar as they both deduct Pay As You Earn (PAYE), which means all the necessary payroll and administrative tasks have been taken care of for the contractor.

If your recruitment agency offers a payroll facility they may offer you one with two different rates; a PAYE rate and an Umbrella Rate. The umbrella rate is the higher amount as it is uplifted to pass the employment cost on to the contractor.

So what are the differences?

Still undecided?

 

Why not call SmartWork today on 0800 434 6446 to discuss the different options in more details. One of our business managers will be happy to provide you with a detailed illustration based on your umbrella rate.

Latest Posts

Self-Assessment is a system HM Revenue and Customs (HMRC) uses to collect Income Tax.  Tax is usually deducted automatically from…

Read Full Article

@SmartWorkUK

New umbrella worker? This article from our contractor's guide series provides all the info you need about claiming… https://t.co/b6YfhbrGxs

Mar 30

Whether you are a contractor, a recruiter, or an end client, with SmartWork you have the full support of a dedicate… https://t.co/g3BTvta79H

Mar 23

In our latest guide, we explore the reasons why your net pay might be different from what you saw on the initial ne… https://t.co/GAQs7g5kan

Mar 16

Speak to our team on
0800 434 6446

Or Click here to contact us

Join Smartwork Today

Fill out our registration form