As umbrella companies experience demand like never before, we wanted to create an easy-to-understand guide for contractors, freelancers and agency workers. Umbrella companies are pretty straightforward once you get your head around them. However, first-time umbrella company users are almost certainly going to have numerous questions about how they work. Please keep reading and find out more about our free umbrella company guide.
The Complete Umbrella Company Guide
The guide is a 46-page informative piece designed to answer the most commonly asked questions about umbrella companies. Changes to off-payroll legislation (IR35) went live in early April 2021, and as a result, umbrella companies experienced unprecedented growth. This was because numerous temporary workers found themselves inside IR35 – many for the first time in their contracting careers.
To help make life easier for first-time umbrella users, we put the guide together to try and cover all aspects of using an umbrella company as a payroll provider. It is available to read now and to download as a PDF document – if you are interested in doing so.
A thorough overview of umbrella companies
Written for the 2021/22 tax year, the free umbrella company guide we’ve put together is designed to give a fair overview of umbrella companies. Towards the beginning, we’ve focused on explaining the processes involved with umbrella companies, including how they work, a realistic scenario, how to register with an umbrella company, and how to interpret umbrella company calculations. The guide then discusses some popular themes, including umbrella company expenses, holiday pay, umbrella company margins, employment costs, and we even include an example umbrella company payslip. Towards the end of the guide, we’ve looked at the advantages and disadvantages of using an umbrella company, and have discussed IR35, tax avoidance schemes and compliance within the sector.
A break-down of the free umbrella company guide
The Complete Umbrella Company Guide is split into 17 sections to give a thorough overview of umbrella companies and the contractor payroll industry.
- What is an umbrella company?
- How do umbrella companies work
- Umbrella company example
- Registering with an umbrella company
- Umbrella company take home pay calculations
- Holiday pay with umbrella companies
- Umbrella company expenses
- Umbrella company margin
- Employment costs
- Umbrella company payslips
- Advantages of using an umbrella company
- Disadvantages of using an umbrella company
- Tax avoidance and disguised remuneration
- Compliance within the sector
Keep visiting umbrellacompanies.org.uk for the latest news
The umbrellacompanies.org.uk website is frequently updated to include useful information for temporary workers. Please take some time to scan the website and see what useful resources are available to you. We’re always looking for suggestions. Therefore, if you have any ideas for new downloadable content, contractor guides, or articles to include in our blog – please email them to email@example.com.
Top 10 umbrella companies
If you’re interested in using an umbrella company, or you’re not happy with the service you’re receiving from your current payroll provider, please visit our top 10 umbrella companies. The FCSA accredits every top 10 umbrella company. And, some have special offers on at the moment.