Umbrella
A simple and compliant PAYE solution for outsourcing your temporary workers
Umbrella
When a contractor works on temporary assignments for various clients or agencies, one of the easiest ways to get paid is through an umbrella company. You'll provide us with the contract rate of pay, from which we'll account for all employer's costs and deduct the worker's tax/NI at source.
The umbrella model is ideal if you're looking to outsource your temporary workers. We’ll issue each contractor an overarching contract of employment with full employment benefits (eg. pension, SSP, SMP etc) and provide access to their payslip on our contractor portal.
We’ll guide you through the complexities of legislation and tax, assist with KID's, and help your workers navigate the umbrella world. We'll issue take-home illustrations free of charge and provide you with real time reports on our RTI submissions.
Benefits of Umbrella
​Remove your company's payroll burden
Instead of going through the hassle of employing workers directly through your PAYE system (and all the laborious administration that comes with it), tens of thousands of contractors use umbrella companies to get paid for short-term and long-term contracts.
IR35 and HMRC Compliant
If an assignment is deemed to be inside IR35, the umbrella model is often the preferred option of payment. Tax and NI is deducted at source, therefore the off-payroll working rules don't apply. You can focus on growing your business, safe in the knowledge that we’ve got it covered.
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​Ideal for both short and long-term contracts
For a weekly margin, we will deduct the required employer costs from the umbrella rate plus the contractor's tax/NI, then pay the worker directly. By working with us for all assignments, the contractor maintains a stable tax code and a consistent employment record which helps when applying for mortgages.
How it works
1. Super easy setup
You’ll send us a referral which includes the contractor’s name and contact information, plus a brief description of the role and umbrella rate. We can accept a referral in a format that suits you (excel spreadsheet, email etc).
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2. Contractor onboarding
We’ll contact the worker to run through everything they need to know about their pay. We’ll issue an employment contract and start the quick and easy onboarding process, which includes an IDVF Right to Work check at no cost to you.
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3. You submit timesheets to us
We’ll process payroll deducting all employer's costs, tax, NI and other relevant deductions. Payslips will be available for the worker to view in their secure online portal.
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4. Invoicing and Payment
We’ll send you an invoice for the contractor’s services. As soon as we receive payment from you, we will pay the worker directly into their bank account.
5. Compliance is key
You will receive real time reports on our RTI submissions showing that all taxes have been accurately disclosed and paid to HMRC under a single PAYE reference number.
Compliance
We go the extra mile when it comes to compliance, ensuring you have the security to grow your temporary workforce.
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Direct support
We’ll work with you to ensure that our payroll solutions meet your needs and that you’re confident in the umbrella process. We provide a compliance pack for your review before we engage your workers, ensuring full transparency throughout.
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Real-time Auditing
Every payslip is audited in real time by a third-party legal team. You’ll receive a comprehensive monthly audit report giving you peace of mind that your candidate’s payments have been processed compliantly.
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HMRC Submissions
Every PAYE and VAT submission to HMRC is audited in real time, so you can ensure that all payments have been made accurately and on time.
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Robust Contracts
All of our employment contracts, contracts of services and terms of business have been created, developed and reviewed by a third-party legal team with extensive experience in providing legal services to umbrella companies. Each contract is regularly updated as required to remain compliant with crucial UK legislation.