Hello to all!
I am currently working temporary for an agency as a class 1 driver and I want to go self employed.
Anyone knows the difference going self employed with novacontracting scheme or umbrella scheme or going by your self by registering hmrc.I am thinking that the difference is that I don’t need to pay nothing if I do by my own but I can claim fuel ,meal allowance etc… by going on my own like I can claim by going with Nova Contracting for which I need to pay 20 pounds a week. Can anyone tells me with which one is better to go and why. Thanks!
S/e is my preference if you don’t have any other businesses. You can do it all yourself and costs nowt, but see below.
Nova/Maddison etc are leeches and will fleece you in admin fees for at least 4x what it would cost you if you used an accountant. Avoid all umbrella companies unless you really are a complete thicky and need someone to nanny you and hold your hand in everything you do.
Ltd Co. is the best solution if you are going to be contracting to the agency rather than directly for the haulier. It’s a bit more hassle than s/e to set up and costs £25-30 to do it but it doesn’t take long to get the hang of it and if you shop around you will find accountants that will do your accounts for £300/year.
Most agencies won’t touch you if you are s/e regardless of whether you wave your tax number under their noses as proof. They’ll either want you with an umbrella co. or Ltd Co.
ovidiumuntean2006:
Anyone knows the difference going self employed with novacontracting scheme or umbrella scheme or going by your self by registering hmrc
Yes, I do. The difference is around £15 a week or £800 a year on accountancy fees alone. Not to mention less tenderness of your ■■■■ area due to the lack of shafting.
I hope this helps.
Don’t forget though that they’ll just pay you an extra £1/hr over PAYE rate which doesn’t even cover the holiday pay you’ll no longer get.
Conor:
Don’t forget though that they’ll just pay you an extra £1/hr over PAYE rate which doesn’t even cover the holiday pay you’ll no longer get.
But PAYE will barely exist by the end of the year due to the new agency rules.
what you gross just now will roughly be your nett as s/e 