using a payment company if you're self employed?

[sandhu40]

A good idea or not?

I am due to start a contract working through an agency, Rig Energy. They have told me that payment will be through a payment agency, namely Eden http://www.edenoutsource.co.uk/

They seem really good and I assume I have the option of whether to go with them or not, I will find out very soon. The fee is £20 I think per week and that includes paying me my correct tax rate and NI and also includes Employers Liability Insurance of £10M and Public Liability Insurance of £2M free. Sounds good.

However, I plan to do my own private work on the weekends, namely landlord safety checks so was wondering how this would work? I think I would be paying twice for the same end result?

Anyone help me out please?

Thanks in advance.

ps what would the approximate cost be of public liability insurance of £2m. I am 29 years old and have just got Corgi registered recently. What do you lot pay?

 

[Paul Barker]

I get paid by agency into a ltd company of my own which in itself has to be cis registered. It means that I don't pay an umbrella company £20 a week.

You dont any longer need a chartered accountant for ltd books.

You can pay your wife etc out of ltd company to keep yourself out of the higher tax bracket, or simply stop work. Or invest the money (in excess of £39000) through the Ltd company which you can draw on in future years when your taxable income is less than £39000. Make capital gains with it instead to the cg allowance for instance.

Your other work invoice through the ltd company.

 

[Shytalkz]

You can pay your wife etc out of ltd company to keep yourself out of the higher tax bracket...

Careful, "they" are clamping down on this.

 

[tabs]

A good idea or not?

?

Not a good idea.

Liability ins round about £300 for 2 mill. Try trades direct - they give you some free tool insurance as well.