Advantages to having a trustworthy Umbrella Company
There are lots of advantages to having a trustworthy Umbrella Company looking out for you, whether you have just started contracting or it is a career you’ve been in for some time. This can simply be down the safety of a salary or assistance with the maze of PAYE taxation issues.
Though you must proceed with caution; there are a number of rogue traders out there who will take advantage of what can be a minefield in order to fulfil their own ambitions. Take note, if you’re noticing any of these habits then it’s time you stepped out from under their umbrella.
A hallmark of an untrustworthy firm would be long unexplained periods after job completion without pay. At One Click, we invoice the agency/client immediately to ensure there are no payment delays. Working as a contractor should not be a reason you are getting paid at irregular times, stretched far apart.
If you think you are paying too much, then there’s a strong possibility you are. Your margins should be predetermined; it is better if they are at a set amount, not a percentage based on income and these should not fluctuate. Rogue Umbrellas will often have wildly varied margins, ones that increase as you make more money.
You should be able to go to your PAYE Umbrella with any questions you might have, cowboys will often pass the buck. A sure-fire sign that an Umbrella has gone bad is if they cannot answer your questions and refer you to the client, HMRC and/or your agency. You can ask us at One ClickUmbrella anything in regards to your contracting and we will answer you with honesty and transparency.
This is the most important factor and one that cannot be overlooked. Umbrellas operating without compliance are far more than just shady – a few of these firms have been outed in the media recently. Compliance is a legal measure, but firms can have operated without it and gone under the radar. A lack of compliance can lead to you as a contractor being completely short-changed. Often their devious measures include immorally worded agreements with the client so that you as a contractor are not an employee. This means you could find yourself earning below national minimum wage, not receiving sick pay or holiday pay, or any other agency worker regulation rights.
Channel 4 recently aimed a tar-covered brush at Umbrella companies, but we, at One Click Group, are proud of what we do. Take a look through our website to see how we can assist you as contractors, or agencies.