Umbrella Company

What is an umbrella company?

An umbrella company is an organisation that employs professional contractors who carry out short-term assignments for recruitment agencies and / or end clients. The umbrella company makes your Pay As You Earn (PAYE) and National Insurance deductions for you, and allows you to offset allowable expenses like travel, meals and accommodation against tax - meaning you can increase your take-home pay.

Why would a contractor use an Umbrella company?

An umbrella service not only gives you legal employee status and handles all the paperwork, but also lets you take home as much pay as possible. It's the simplest solution for most contractors, with no unexpected tax bills and a very straightforward process for claiming expenses. And because you're employed, it's much easier to secure important things like loans and mortgages too.

An umbrella company is an organisation that employs professional contractors who carry out short-term assignments for recruitment agencies and / or end clients. The umbrella company makes your Pay As You Earn (PAYE) and National Insurance deductions for you, and allows you to offset allowable expenses like travel, meals and accommodation against tax - meaning you can increase your take-home pay.

How does it work?

How does a umbrella company work?
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