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Umbrella Companies

If you are planning on working through an Umbrella company it is important that you are aware of how they work so that you can get the best out of the service and ultimately keep more of your pay!

This is how it works:

When you work through an umbrella company you are working PAYE

You also pay the umbrella company a fee for their services. This can be a percentage- usually between 4-5% of the total invoice, or a flat fee charged each time you use their services. In essence they are all providing the same service- which is handling your payroll and Tax/ National Insurance contributions, but they do work in different ways, so it is worth speaking to 2 or 3 different companies to decide for yourself who will be the best option for you. 

Umbrella companies are useful in that they provide a quick solution fo you and no matter how many different practices and companies you are locuming through there is always one centralised payroll contact to work with.

It is also important that you supply the umbrella company with your full P45 before you start as this will avoid unnecessary emergency tax of 40%.

It is always advisable for locums to submit their timesheet on a weekly basis.

Get the maximum out of using an umbrella company you can. If you want to discuss your payslip or charges from your umbrella company when you work through us, then do call us and we will happily go through it with you.