SUPPORTING CONTRACTORS

& FREELANCERS

Let us help you start this journey!

An Umbrella Company pays your salary the same way an employer would. The difference however in an umbrella company is that it uses a net pay calculator, and ensures that all relevant tax contribution are properly calculated and submitted to the HMRC, ensuring contractors and freelancers a hassle-free experience in terms of tax commitments. This means, we at PNG are middlemen between contractors or freelancers and agencies, and engage in processing timesheets and payments correctly, taking the hassle of administration off of your hands.

When it comes to processing and calculating your payments, we give utmost priority to the conditions laid out by the HMRC. Our PAYE payroll is linked through the RTI (Real Time Information) system which provides and records your earnings and deductions – effectively protecting you from any comebacks. Therefore, it is not up to us to decide what you should be paid, but rather to make sure that you receive a consistent take home salary by doing it right.

When it comes to a Ltd vs PAYE Umbrella Company, although circumstances and preferences play a part, a PAYE Umbrella company makes life easier for you. Firstly, the shift towards the services of a PAYE umbrella company has increased where many larger employers and agencies insist on it for their contracts to prevent potential disruption down the line. Limited companies are beneficial due to tax paid on ‘profit’ but will involve a lot more time and consideration to keep on top of, – with more likelihood of HMRC investigations if anything looks out of place. Contractors often prefer the services of a PAYE umbrella company as they are hassle free and ensure that relevant deductions are being made – where it is important to remember that anything outside of this ‘can’ and ‘will’ be considered as tax evasion by the HMRC.

When it comes to processing and calculating your payments, we give utmost priority to the conditions laid out by the HMRC. Our PAYE payroll is linked through the RTI (Real Time Information) system which provides and records your earnings and deductions – effectively protecting you from any comebacks. Therefore, it is not up to us to decide what you should be paid, but rather to make sure that you receive a consistent take home salary by doing it right.

Yes, you can still claim expenses that are reasonably incurred whilst carrying out your work under a PAYE Umbrella. This is pending an agreement by the contract provider and monitored by your respective agency. Often you will be required to keep records of expenses or complete expenses forms when required.
Our customer support team are on hand to let you know exactly what you can claim for to help offset some of your taxable liabilities.

Yes, it definitely is worth being paid as a contractor under a PAYE umbrella company, especially if you can maintain regularity in your work as a Freelancer or Contractor. Most of the UK population conforms to PAYE tax rates as standard, and many contractors that may have been used to various accounting solutions that helped them keep more of their money, are at risk of the HMRC crackdowns on such schemes. But as a contractor you still get to enjoy the higher associated rates of pay than that of permanent staff to account for this with increased security. Plus, you maintain more control over the work you do and how you should do it. The alternative is to take a permanent job with the security of fixed earnings where you will still be paid through PAYE.