My Personal Service Company (My PSC)
Working through a PSC will provide your contractor with the best take home pay; this is because he pays himself dividends rather than a salary. IR35 applies to this way of working so the contractor will need to be IR35 compliant. Don’t worry about making an IR35 assessment yourself, PayStream can do this without charge. These are the key features:

• The contractor sets up a limited company and acts as director.
• The contractor needs to open a business bank account and all agency funds should be transferred directly to this account. This avoids any argument that the contractor does not control his company’s finances
• The contractor will take his drawings from this account leaving enough behind to pay taxes as advised by PayStream. We make it as straightforward as possible for the contractor which means he won’t need to keep coming back to you with questions!
• The contract should be made out to the limited company name.

PayStream can tailor its services to match your contractor’s requirements. We can even help self-employed contractors to complete their personal tax return. Our flexible approach means that we can assist you no matter what the circumstances.

Mimax Mosaic Ltd: umbrella company
An umbrella company directly employs a number of workers at any one time. Workers pay employed levels of tax and NICs but have the benefit of gaining tax relief on their expenses. This increases their income over being paid on the agency payroll. The key features are:

• All agency funds will be sent into the Mimax bank account.
• The contract should be made out to Mimax.
• Its a hassle free service for the contractor.

PAYEsafe
PAYEsafe is unique in the market so often needs a little more explanation! As the name suggests, like an umbrella company, this service is safe from MSC and IR35. The contractor pays employed levels of tax and NICs and therefore works inside IR35. MSC is only relevant to limited companies that receive more than employment income.

• The contractor sets up a limited company and acts as director.
• MSC and IR35 do not apply because the contractor pays employed levels of tax.
• The contract should be made out to the limited company name. 
• All funds will be sent to PayStream’s bank account. 
• No fee service; just 10% charge on expenses processed which is capped at £25 per week. If the expenses are below £20 per week we do not request a fee. Contractors can therefore increase their income over being paid through an umbrella company.
• Its a hassle free service.

In a nutshell, thats it! All you need do is refer your contractors to us and we’ll do the rest. We’ll get to know the contractor and determine which service he will benefit from the most, while remaining safe from legislation.

Remember, we can tailor our services to match your requirements, just ask!