Been offered to go Self Employed - So stressed out

shane-23

Hiya All

I Hope you can all help me with a lil bit of stress i have...

I am in full time employment as the moment, im a security guard and only been doing it for just over 2 months now so everything is still new to me.

Well my boss called me and asked if i be intrested in self employment as i could be getting extra money every month and also his bussiness will save on costs on these hard times.

At the moment i get a avrage page of £1500 and time tax and NI is taken out i get approx £1080.. im ok with this wage...

well as my boss was on the phone he said if i go self employed i can pay £130 - £150 a month instead of £300 as i can claim fuel costs, work clothing, and so on out of it...
also he said as i will be self employed i only pay £10 for a NI each month not my usual £118

he thinks i can save easily £250 or more a month and he will also get a saving on his side - unsure how..

he also said if i go self employed and after about a year i can also look into getting my own construction sites and employing my own guards to work for me and also be better off that way..

but he said if im self employed i will still work for a bussiness as normal but instead off him payin in my bank £1080 each month he will pay the £1500 and i will pay my own tax and NI

yea it sounds good and i think i appeal to most, BUT
iv never done this before. im stressed out incase i make a error and lose my job, or anyhting happens

what ddo you lot think

stay the way i am get £1080 a month and let my boss sort all taxes out and so on

go self employed, earn a extra £250 a month but may come with additonal stress and possiblity of messin up..



i dont know nothing at all basically about self employment

my brother did it a while back he said you must have a good strong mond and keep things up to scratch all the time, if i slip up its a fine, if i wanna book a week off i get no holiday pay,, if u turn a job / site down its a fair chance they just wont ask me to work with there bussiness again?

any help

Russe11

you need to earn more than £250extra a month to make it worth while i'd thought.

Work out holiday entitlement, NI(class4 +8% a year) and tax(20% over you allowance), sick periods, insurance, other costs like uniform, giving up all your rights as an employee.

Personally if you are going to be self employed you need to be doubling your PAYE income at least, ideally much more.

To be on level terms you will need to be on about %140 of you current income.

Some one will come along and give you all the exact figures.

My take on it though as your employers gets out of paying his employer NI contributions, you have to pay yours, you lose all your rights as employee.

And all you gain is a few expenses, that will total in tax savings nothing by the time you have spent the admin time on that and self assessment.

InsideInsurance

You cannot simply chose if you are self employed or not. HMRC have a series of tests that they apply and irrespective of what your contract states they can deem you to be genuinely self employed or simply a masked employee.

For them, by making you self employed they dont have to pay Employers NI (which is on top of the NI that you pay), it means they dont have to pay you holiday, sickness etc and can reduce some of their insurance liabilities as you are no longer an employee.

It can potentially increase your income if you can argue you are genuinely self employed but you have to balance off sickness, holiday and any other employee perks they may offer. Plus, as a self employed person, you have no employment rights so they can dismiss you without reason at any time simply by giving notice.

shane-23

what would any off you lot do.

im happy enough and feel more secure the way things are, its just a lot off pressure from my company and other work colleges about self employment.. i just dunno what to do and they want a answer by monday 1pm

so stressed out

GlennTheBaker

shane-23 wrote: »

what would any off you lot do.

im happy enough and feel more secure the way things are, its just a lot off pressure from my company and other work colleges about self employment.. i just dunno what to do and they want a answer by monday 1pm

so stressed out

I think you've answered your own question. If I was you, I would politely decline their offer and stay as you are.

passatrider

GlennTheBaker wrote: »

I think you've answered your own question. If I was you, I would politely decline their offer and stay as you are.

Totally agree! I've been self employed and it's alot of hard work and commitment. Stick with what arrangement you have already.

shane-23

thanks all. i just felt under pressure with it as i dun like extra work after work lol,, if u know what i mean...

ill give me boss a ring now and say i thought it thro and i decline your offer...

thanks again
shane

agrinnall

I think declining is the right decision. I would also say that the company you are working for sounds a bit like they want to pick and choose which rules they obey and which they don't, so my recommendation would be to get some experience with them then quietly look for a similar job with a more reputable organisation.

Googlewhacker

Not to put a spanner in the works but if you refuse to go 'self employed' as you have less than 1 years continuous service he could simply just get rid of you for someone that would want to go 'self employed' and there would be very little you could do about it.

shane-23

hi all

My plan is now to stay with my company untill atleast jan 2013 so i will have 12/13 month experiance and look else were as i work for min wage that i can be getting a fair amount more as most guards do on construction sites..

as metioned above about sacking me, i understand what you saying but it is my choice as it was a offer that i was entitled to refuse, i doubt at the moment i will get dismissed as my company is very short on staff so i think im in the safe for now, also they have stated its not a sackable offence to decline the offer.

thanks
shane

KiKi

shane-23 wrote: »

as metioned above about sacking me, i understand what you saying but it is my choice as it was a offer that i was entitled to refuse, i doubt at the moment i will get dismissed as my company is very short on staff so i think im in the safe for now, also they have stated its not a sackable offence to decline the offer.

thanks
shane

Just so you understand, it's not about it being a sackable offence; you can be sacked for any reason (non-discriminatory) if you have under 12 months' service (almost undoubtedly going up to 2 years' service in April).

So if they find plenty of currently unemployed people who want to go self-employed, and if they decide that they don't like that you refuse self-employment, you have no protection and they can sack you.

Not saying that to put you off, just explaining what GW was saying.

FTR, I agree you've done the right thing; self-employment has significant implications if you're not getting a payrise.

KiKi