Advice applying for a job that state self employed?

mrs_marty

I'm thinking about applying for a job that sounds ideal but states self employed which I find odd as it is an accounts/credit control administrator.

What are the implications I know I have to take care of tax and NI myself but what else should I consider, and how would I negotiate pay, allowing for tax etc :eek:

Also do you factor in the pay rate holidays as you wouldnt be entitled to that :eek:

Thanks, nothing is ever straight forward!

steve1980

As self employed you are not entitled to holiday time/pay from the client.

If this is your only job and you are unable to work for anyone else then you are not self employed.

KiKi

Hiya

Firstly, I hope this isn't a job that you've seen on the internet where they want your bank account details and you take a portion of 'money' they're transferring to America or the like?!

Secondly, if it's a job where you are instructed what to do, where you deliver to their timescales, objectives and don't have control of what work you do and what you don't, and you're working full time, then it's highly unlikely to be deemed a self-employed role as far as HMRC are concerned. (And it has to be HMRC's definition, not what the company decides.) Companies doing this are usually trying to get away with not paying tax and NI, leaving it to you to do it. You would be a contractor, and have no employment rights with them.

This doesn't really sound on the level - either that, or they're genuinely ignorant, which I would find surprising in a company that has credit controllers.

Perhaps you should call up and have a conversation as to why it would be self-employed? See what their reasoning is?

KiKi

cavework

Could someone give me feed back on this please?
10 years ago when I became self employed , you were only classed as self employed if you could prove to HMRC that you had more than one client on your books.
Has this changed?
Thanks
sorry OP for sticking this on your thread

Jowo_2

mrs_marty wrote: »

..
Thanks, nothing is ever straight forward!

No, it's not - read the following link - the HMRC aren't particularly happy when certain types of roles are set up as self-employment opportunities when they are not particularly distinguishable from a regular employee. It's not up to the employer and 'self-employed' client just to make these arrangements, they are expected to meet a criteria. The HMRC don't take kindly to disguised self employment.

http://www.hmrc.gov.uk/employment-status/index.htm

mrs_marty

Thanks Steve and Kiki that was my level of knowledge as well so was baffled to see it advertised as self employed, I really hope it has been a mistake by the newspaper as it is a well known local company. Going to call in the morning to clarify thanks again

KiKi

Jowo wrote: »

No, it's not - read the following link - the HMRC aren't particularly happy when certain types of roles are set up as self-employment opportunities when they are not particularly distinguishable from a regular employee. It's not up to the employer and 'self-employed' client just to make these arrangements, they are expected to meet a criteria. The HMRC don't take kindly to disguised self employment.

http://www.hmrc.gov.uk/employment-status/index.htm

That's a really good link; thanks for posting.

KiKi

paulwf

For one moment lets assume the job is legitimately a self employed position.

You won't get any holiday pay (statutory min 5.6 weeks if you were employed), sick pay or maternity/paternity pay enhancement. Unless you negotiate a separate contract they can terminate your services at any time and you won't get redundancy.

There will be extra hassle doing a yearly tax return and setting money aside during the year. You may need a separate bank account to make life easier.

To make it worthwhile you realistically need to be charging 25% more than the wage you'd like to end up with, and ideally you'll be charging around 50% more. If you just take the same money as the wage for an employed position you'll be getting a poor deal.

cavework

http://www.hmrc.gov.uk/employment-status/index.htm
Do they regularly work for a number of different people?

Thanks Jowo