Being asked to invoice an employer

Lucky-Pigeon

Hi everyone,

Need some advice please!

I've just accepted a job offer. The employer has said there is an initial 3 month 'internship' period that would grow into a full-time role. The company is small, so I'm assuming this is to allow for my dismissal if I do not prove myself to be worthwhile, which is fair enough.

However, I've been asked to invoice the company monthly my agreed fees for this period. Is this legal, and why would they want to do this rather than pay me through PAYE? Furthermore, are there any benefits I would lose out on if this system of invoicing rather than being on a payroll continues after the initial 3 month internship phase I.E pensions etc?

I'm young and inexperienced. This is my first job after graduating, so any advice would be helpful.

Thanks.

Darksparkle

They'll be doing it to get out of paying employers nic, paying sick/maternity/paternity/adoption pay, holiday pay etc. Basically all the rights of an employee. I wouldn't work for an employer that worked this way.

agrinnall

Just Say No!, to quote Nancy Reagan.

Undervalued

Darksparkle wrote: »

They'll be doing it to get out of paying employers nic, paying sick/maternity/paternity/adoption pay, holiday pay etc. Basically all the rights of an employee. I wouldn't work for an employer that worked this way.

That is a bit sweeping to say the least.

As long as the employee / freelancer / contractor has their eyes open, understands the situation and is happy with the bottom line then I fail to see the problem. Ultimately, if the employer gets it wrong they will be the one answering to HMRC.

Darksparkle

Undervalued wrote: »

That is a bit sweeping to say the least.

As long as the employee / freelancer / contractor has their eyes open, understands the situation and is happy with the bottom line then I fail to see the problem. Ultimately, if the employer gets it wrong they will be the one answering to HMRC.

I never said others can't/wouldn't want to do it. I said I wouldn't.

Mersey_2

Whilst it's sadly increasingly common, it'd be usual to be self-employed throughout or an employee throughout ie before and after the 3 month period.


Have they said you'll go from self-employed to employed after this initial period? That would be odd and you'd probably be deemed to have been at least a worker from day 1.

phill99

You won't be an employee. You will be a self employed contractor. On that basis you will have no protection of employment, no holiday pay, no sick pay, no employers NIC, no pension.


I'll say that again in case you are struggling. : YOU WILL NOT BE AN EMPLOYEE.

paddyrg

You cannot be a self-employed intern. HMRC take a strong position on this

Sharon87

There are certain jobs that can't be 'self employed'. I work in TV and some rogue companies try to get Runners to invoice, but they're not allowed to. Heads of departments can invoice - managers, Producers, Directors - all can invoice, but lower levels shouldn't.

What type of job are you doing?