Umbrella company, payroll or limited company

MummySarah

I am starting a contract in January which pays a day rate and will last for a minimum of 4 1/2 months.

In the past I have always been paid through payroll but for this job I will be classed as a supplier and will have to invoice for my time.

Because it is only possibly for 4 1/2 months am I best to:
1. Set myself up as a limited company and do my own tax and NI?
2. Go through the payroll of the recruitment company that have arranged the contract for me?
3. Use one of the umbrella companies for Tax and NI. And if yes, does anyone have any recommendations on who is good?

Thanks!

keyser666

If over say 30k per annum and likely to contract again then Ltd is the way to go, you can always pop over to ask us on http://forums.contractoruk.com as there is heaps of advice and recommendations and the pitfalls etc

Reggie_Rebel

I used an umbrella company for a contract and it worked well. It was Nasa Umbrella and they charged £12.50 per week

MoneyMate

Used IPS Umbrella, no problems can um and R about their cut :money:
http://www.ipsumbrella.com/

makeyourdaddyproud

Unless you can put in a regular amount of business each year and with the first year fully earned, do not bother with a ltd co.

There are no financial advantages in having a ltd company if your only source of income comes from one supplier, as the tax office will deem you as an employee and expect your tax receipts to be close that of a regular employee.