Hi all, ive just got a new temp job, working for a local agency...not sure if im allowed to mention who it is on here? I always here people saying not to mention names, oh i dont know.

Anyway...

They said that they do their pay through a Ltd company, so i said fine-i just want to work and get paid at the end of the week...

I really dont have a clue about it at all, what so ever. The Ltd company have sent me this form with a million billion squillion numbers on, and it shows that it i do it through P.A.Y.E. then i will get £266 a week, and if its with the Ltd then its £285 a week.

I just wondered if anyone could help clear this up for me, do i have to do anything extra if i do it through the Ltd company, sounds as if there should be a catch to be honest!

Thanks in advance. x

Oh come on you clever lot! Someone must be clever and know about this...please...!

Do they want you to set up your own limited company? If so, you'll have to pay your own tax/NI, keep your own accounts and file them with Companies House.

You might be right Andy. The difference sounds suspiciously close to the Employers NIC contributions. :suspect:

Where's taxman when you need him?

If thats the case, its worth doing, as you'll not be giving Gordon Brown as much of your hard earned. Does involve keeping books though, which, for the amount you're earning may be debatable as to whether its worth it or not.

Hi all, ive just got a new temp job, working for a local agency...not sure if im allowed to mention who it is on here? I always here people saying not to mention names, oh i dont know.

Anyway...

They said that they do their pay through a Ltd company, so i said fine-i just want to work and get paid at the end of the week...

I really dont have a clue about it at all, what so ever. The Ltd company have sent me this form with a million billion squillion numbers on, and it shows that it i do it through P.A.Y.E. then i will get £266 a week, and if its with the Ltd then its £285 a week.

I just wondered if anyone could help clear this up for me, do i have to do anything extra if i do it through the Ltd company, sounds as if there should be a catch to be honest!

Thanks in advance. x

is this through an umbrella company? i read about this way of working on here recently.

If you set up a Limited Company (and it costs money to do so) you will have to invoice them for your "pay". If they don't pay you the money they owe....and they can string it out for weeks remember, you may have to take them to court to get it. This is no guarantee of payment.

If they go bust, unless you are of a "Preferred Creditor" Status, usually only the Inland Revenue, C & E for VAT, and their Banks fall into this category, you have not a hope in hell of ever getting paid what you are owed.

Make them pay your wages directly to you, even if it is less than if you set up a Limited Company. At least that way you will know within one week that they give you your pay or not.......better than cock and bull stories you may get from them stringing you out for many weeks on end hoping you get paid, ultimately then finding out you have worked literally for nothing.

I speak from bitter experience in my past.

sounds dodgy to me, you say the ltd co sent you a thing saying you'd get paid more off PAYE with them? could it be they are using a LTD co to self employ their employees in order to dodge some NI?
Unfortunately this is illegal at present and you could end up with issues on you NI record.

There is a couple of companies which will set you up as a "Ltd" company (porterstaff & Nova) and do all the invoicing for you, if you are driver for an agency all you have to do is send in your hours to the company which has set you up and they will invoice the agency who will then invoice who ever you worked for. its not dodgy its just like being self employed and you pay less Tax, you can also claim back lots of expenses such as driving in you own car to jobs. its really easy and you will get loads more money, the only draw back is that i think you dont get any holiday pay because you are classed as self employed, the best part is the name of your company if you do it, for example if your called David your company will be something like Davids Transport Ltd.

speak to an accountant quickly - take all paper work with you. Yellow pages will have details and some have an hour free consultation

oN NO! tHIS DOESNT SOUND VERY GOOD! i WAS WORRIED ABOUT HAVING TO SORT OUT MY OWN ni AND TAX ETC, OOPS! and for the sake of £20 a week, i dont think its that much. Also i was told that it i do it through the Ltd company i dont get holiday pay, which didnt bother me really as the post is oly for 3months approx. Will have to do some investigating! Thanks all.........

oN NO! tHIS DOESNT SOUND VERY GOOD! i WAS WORRIED ABOUT HAVING TO SORT OUT MY OWN ni AND TAX ETC, OOPS! and for the sake of £20 a week, i dont think its that much. Also i was told that it i do it through the Ltd company i dont get holiday pay, which didnt bother me really as the post is oly for 3months approx. Will have to do some investigating! Thanks all.........


You don;t do it your self - you have an accountant (£)

You dont have to do anything or use an accountant, the company which set you up as a Ltd company take a small piece of the pie, one of the company that our agency use charge £17.63 but with that charge you will still be better off.

There is a couple of companies which will set you up as a "Ltd" company (porterstaff & Nova) and do all the invoicing for you, if you are driver for an agency all you have to do is send in your hours to the company which has set you up and they will invoice the agency who will then invoice who ever you worked for. its not dodgy its just like being self employed and you pay less Tax, you can also claim back lots of expenses such as driving in you own car to jobs. its really easy and you will get loads more money, the only draw back is that i think you dont get any holiday pay because you are classed as self employed, the best part is the name of your company if you do it, for example if your called David your company will be something like Davids Transport Ltd.


No, You AREN'T self employed, if you are David and set up as Davids Transport, you will probably be the Managing Director and work for David Transport. Davids transport will be a separate item in law. You CAN pay yourself holiday pay (because you are the Chief paymaster also)

Like I said, you need to see an accountant - even for a free chat. Forming a limited company is serious.

oN NO! tHIS DOESNT SOUND VERY GOOD! i WAS WORRIED ABOUT HAVING TO SORT OUT MY OWN ni AND TAX ETC, OOPS! and for the sake of £20 a week, i dont think its that much. Also i was told that it i do it through the Ltd company i dont get holiday pay, which didnt bother me really as the post is oly for 3months approx. Will have to do some investigating! Thanks all.........

personally i wouldn't bother like you said it's only for 3 months thats £270 for the term of the contract but it sounds like setting up and administrating a limited company with all the legal stuff would chomp into that £270 to make it not worth your while.

also what happens in 3 months do you just fold your limited company is it free.

pros
£20 more a week
certain tax claim backs

cons
initial setup of limited company
finding somebody to invoice the people you work for.
time and effort to save £20 a week

Have a look on Porterstaff website they will explain it to you, we have been doing it for years you don't need an accountant or a solicitor. just have a look and read for yourself

Have a look on Porterstaff website they will explain it to you, we have been doing it for years you don't need an accountant or a solicitor. just have a look and read for yourself

couldn't find porterstaffs site but did find novas.

he'd be £30 worse off

theres a £30 setup fee and if you earn £100 to £400 it's £20 fee since he'd only get £20 extra doing this he would have to start claiming expences to scrap back the £30 set up fee.