Ltd company but was overpaid PAYE

Billco_2

Hey guys, bit of a weird one.

I have my own LTD company, and I drive for various companies and invoice them accordingly.

Recently signed up to an agency to do some work for one of their clients. Filled in all the forms that I was asked to, ticked the ltd company box etc. They took copies of my documents.

Got my first "payslip" through this week from them and they have paid me PAYE!

Rang them up to basically be told, well you didn't give us your company number (yes I did), you can't just write ltd company on the paperwork and expect to be paid that way, there's nothing we can do now but bring the number in for next time.

Thats the short version, she was far less helpful and a lot more rude than that.

So at this point I'm fuming. Not only have they cost me tax, NI but they have also paid me at a lower rate than what was agreed (PAYE vs LTD).

Then the next day I take another look at the payslip to do some calculations and realise that they have actually overpaid me. Basically double the hours than I actually did.

So now instead of telling them to poke it as I originally wanted to do I've calmed down a lot and kind of want to proceed with working for them, because the client they have is nice easy work and a good payer.

Any suggestions on how to handle this though?

Hope that all made sense

System

I can guarantee that if you're doing driving for an agency you are NOT on less on PAYE than you get Ltd. Most agencies are only paying £1 or so an hour more for Ltd than PAYE which doesn't come close to covering the holiday pay you don't get as Ltd. Many multiple threads on TrucknetUK forums about how the extra you get for being Ltd from the agencies isn't enough to cover the holiday pay and workplace pension you don't get and the employers NI and your accounting/admin fees you have to pay.

Many agencies are stopping doing Ltd/Umbrella due to the ongoing HMRC witch hunt.

Ultimately HMRC's advice from 2016 was if you don't own the truck or van you're driving you don't qualify as being self employed.

http://transportoperator.co.uk/2016/05/13/hmrc-fires-warning-shot-on-self-employed-drivers/

Employers using agency drivers with self-employed status or who are hired through ‘umbrella’ companies have been warned by HM Revenue & Customs that they may well be breaking the rules, and could face substantial penalties.

“In road haulage, it is rare for someone to be genuinely self-employed unless they are an owner-driver.

“Broadly, someone is self-employed if they are in business on their own account and bear the responsibility for the success or failure of that business. They will be employed if they personally work under the control of their engager, and do not run the risks of having a business themselves…"

And that last sentence describes how you work to a tee.

Savvy_Sue

Billco wrote: »

Any suggestions on how to handle this though?

Well, if you want to keep working this contract, then you need to sort out the overpayment with them, because they'll notice eventually! No real advice on how to sort that, but politely, and perhaps face to face ("here's my company number ...") if you can.

getmore4less

Which legal entity signed for the contract you or your ltd company.