Umbrella Company

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Boon
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Umbrella Company

Post by Boon » Fri Jan 03, 2020 12:03 pm

Hi - I'm about to start 8 hours per week with an agency as a CBT therapist. I need to choose an umbrella company for processing payments as I don't want to set up a limited company. Can anyone recommend an umbrella company that they have used? Thank you.

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miriam
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Re: Umbrella Company

Post by miriam » Mon Jan 06, 2020 12:03 am

Why can't you just be a sole trader?
Miriam

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Boon
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Re: Umbrella Company

Post by Boon » Mon Jan 06, 2020 10:43 pm

Personal preference not to set up a company at this stage.

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miriam
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Re: Umbrella Company

Post by miriam » Tue Jan 07, 2020 12:05 am

I don't think you are understanding what a sole trader is. Its just you being paid as a freelancer. You don't need to set up a company. Why give some shell company a cut of earnings for no reason, when you can just invoice and be paid in your name into your own bank account?
Miriam

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Boon
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Re: Umbrella Company

Post by Boon » Sat Jan 11, 2020 5:57 pm

The agency offered three options: PAYE, Umbrella or Ltd company. I think sole trader is different to these?
I've opted for PAYE for now as seems the simplest, as you're right, umbrella companies take a hefty fee.

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miriam
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Re: Umbrella Company

Post by miriam » Sat Jan 11, 2020 7:35 pm

Good choice. Pretending to be a company when you are not could easily put you foul of IR35 tax avoidance. The agency is pushing you towards options where they don't pay their fair share of tax. Its one of the reasons why I dislike agencies.
Miriam

See my blog at http://clinpsyeye.wordpress.com

Boon
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Re: Umbrella Company

Post by Boon » Sun Jan 12, 2020 7:30 pm

Thanks for the information Miriam.

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