LTD Company help

[winseer]

Words escape me.

60 hours for £8ph PAYE would be crap enough, but on an invoice?
Sheesh. Have so many of us sunk lower than serfs now? At least a serf had their land rent and food thrown into the mix paid for by the baron!

THe only way you could “make money” from working on such terms would be if the firm gave you tied accommodation on their site, and you drew food from a communal stockpile.

…In this day and age, perhaps you could make it work if you still live with Mum, and have some siblings earning some proper wages to finance the household with?

In these parts, you might pay £900pm on a mortgage or rent, half that much again on food & drink (£450pm) plus another £350pm on bills, total £1700pm
This needs a basic gross wage of £2500pm just to pay for the regular outgoings.
Thus, if you work an average 48 hour week full time, you’d need to be grossing £625pw including nights out money, so let’s say £500pw plus £125pw night out money.

Does everyone live on potatos, brawn, and dripping outside the southeast or something?

[conor]

We don’t pay £900 a month on a mortgage or rent.

[winseer]

Well, before I took VR out of Royal Mail, I looked at the possibility of transferring to places like Warrington up north. House prices there were the same as down here!

That means the same mortgage will be costing you the same amount, because it will be obtained from the same lender who DOESN’T give discounts on the interest rate “just because you live above the arctic circle” for incomes.

So… Who lives in a house starting out as an LGV driver and is paying a lot less than £900pm out?
Someone MY age might have a better deal (and I do!) . I’m just trying to think of the children here… That is, our children in their 20’s now just starting out on the road.
If I were paying a £900pm mortgage, I wouldn’t be able to ■■■■ about doing 2-3 shifts per week on agency - that’s for sure! One could even argue weather it’s one’s mortgage or one’s low paid job that renders one a slave the most in today’s downbeat economy?

[newlad]

here is the example off the terms and conditions.

Pay Rates £666
Mileage 420 miles @ 45p per mile for first 10,000
Other expenses £51.50

Employee PAYE

Gross Pay £666

Tax £104.40
NIC £63.24

Total deductions £63.24

Net Pay £498.36

As a LTD Co

Gross invoiced £666

Less retentions
Management charge £22
NIC £0.07
Corporation Tax £53.39
Total deductions £75.46

Net Pay £590.54

Represented by Net Salary £136.50
Expenses £240.50
Net Dividend Payable £213.54

Saving £92.18
Percentage Increased 18.5% Extra

[conor]

NewLad:
Saving £92.18

No it isn’t. Where is the employers NI? It certainly isn’t 7 pence a week. Where is the deduction for holiday pay or aren’t you going to pay yourself when you’re on holiday? You can’t legally claim mileage as an expense if you only go to one place of work. Your Ltd Company cannot legally pay you that little if you’re doing 60hrs.

Not to mention that it is basically tax evasion both by you and them. They are outright lying to your face because they get to screw £1100 a year out of you for £300-£400 of work.

And when you want to get credit or rent or buy a new house, your income from PAYE going by this scheme is £136 a week. Just how much of a chance do you think you’ll stand of getting a loan for a new car, being able to rent a £600 a month house or buy a £100,000 house with a £136 a week wage because they don’t count dividends as income for mortgage purposes as a dividend from a legitimate company could be £3k one year and £0 the next.

[mac12]

With your mileage are you doing 420 each week, if so your 10000 miles will be up in 22 weeks so what happens then. You do no that you don’t get 45p per mile you only get the tax back on the 45p or £9 per 100 miles.

[winseer]

How many cars get 100 miles for £9 worth of fuel?

Mine doesn’t.

Since you have to spend no more than 40% of your working year at one place, you’ll need at least 3 seperate places to commute to, if one wants to make the mileage claim legit.

I’m being pestered right now RE: “Subsistance” as well. One minute they say they “don’t want receipts, but you’re supposed to have food and drink at work each day to make the claim” then they say they want a receipt on demand for any random day requested…

FFS. Why can’t this damned allowance just be added to one’s tax code, and be done with it? It’s not as if we’re running some scam that involves anorexia is it?

[del_trotter]

Conor:
We don’t pay £900 a month on a mortgage or rent.

Neither does he,but he likes to play Billy big ■■■■■■■■ on here.

[newlad]

mac12:
With your mileage are you doing 420 each week, if so your 10000 miles will be up in 22 weeks so what happens then. You do no that you don’t get 45p per mile you only get the tax back on the 45p or £9 per 100 miles.

You get 45p a mile I can assure you, its for ware and tear, maintenance, repairs, fuel and insurance. It isn’t just for the fuel you use.

[mac12]

NewLad:

mac12:
With your mileage are you doing 420 each week, if so your 10000 miles will be up in 22 weeks so what happens then. You do no that you don’t get 45p per mile you only get the tax back on the 45p or £9 per 100 miles.

You get 45p a mile I can assure you, its for ware and tear, maintenance, repairs, fuel and insurance. It isn’t just for the fuel you use.

So if you have a job paying £10 per hour and do 8 hour shift you get £80 now if you travel 100 miles each way so 200 miles you think the tax man will give you £90 or £10 more than your days pay. Maybe I need your taxman.

[newlad]

Conor:

NewLad:
Saving £92.18

No it isn’t. Where is the employers NI? It certainly isn’t 7 pence a week. Where is the deduction for holiday pay or aren’t you going to pay yourself when you’re on holiday? You can’t legally claim mileage as an expense if you only go to one place of work. Your Ltd Company cannot legally pay you that little if you’re doing 60hrs.

Not to mention that it is basically tax evasion both by you and them. They are outright lying to your face because they get to screw £1100 a year out of you for £300-£400 of work.

And when you want to get credit or rent or buy a new house, your income from PAYE going by this scheme is £136 a week. Just how much of a chance do you think you’ll stand of getting a loan for a new car, being able to rent a £600 a month house or buy a £100,000 house with a £136 a week wage because they don’t count dividends as income for mortgage purposes as a dividend from a legitimate company could be £3k one year and £0 the next.

How can it be tax evasion, tax evasion would be if I declared nothing saying I didn’t work. This is paying yourself by another means to benefit yourself it’s called a loop hole. No doubt the government will close it one day but doing so would make EVERY self employed / sole trader think what is the point.

So how can google only pay 1 million pounds in tax on nearly 4 BILLION in revenues? Because they use OUR OWN tax system to THEIR benefit.

No I won’t be taking any holidays thank you very much, I have a WRITTEN offer of employment upon passing my C+E which I intend on accepting. The TM said it’s up to me if I want it or not as on agency being paid like this I will be financially better off, or I can take the job and have security (after 2 years service) and a rota, being on agency I don’t find out what time I’m in until 6pm and I could be in at 2am. Also being on agency if I want Saturday and Sunday off every week I can have it off, if I go full time I’ll be working some/most of them.

It’s day rate at the company and they ALWAYS max you out a 110 a day + a fuel bonus of £10 a day.

If it bothers you that much I have already taken 3 weeks holiday as I’m still accruing holidays with my previous employer as I am still under notice for another 8 weeks.

Why can’t my company pay me that much for 60 hrs, there are MANY people who are paid this way doing the same.

And when you want to get credit or rent or buy a new house, your income from PAYE going by this scheme is £136 a week. Just how much of a chance do you think you’ll stand of getting a loan for a new car, being able to rent a £600 a month house or buy a £100,000 house with a £136 a week wage because they don’t count dividends as income for mortgage purposes as a dividend from a legitimate company could be £3k one year and £0 the next.

I already have a mortgage thanks, and if I want a new car I’ll pay cash like I always do I don’t do car finance.

HTH