Umbrella payroll service, customer services for
contractors etc
It is always advisable to select an umbrella company in UK based on good word of mouth so it is worth considering companies that have been tried and tested.
Some recruitment agencies do have a preferred supplier listing but do not be afraid to challenge this if you feel you are being forced to use a company against your will. Some umbrella companies provide incentives for recruitment agencies to refer contractors and therefore the agency referral may not be for the right reason.
All umbrella companies provide different services, so it is important that you know what you are paying for. Make sure that there are no hidden charges, joining or leaving fees and that you are not being charged when you are not contracting.
Some umbrella companies will tempt you with incentives to join such as little or no charges – but remember, if it is too good to be true, then it probably is. A successful business will need to have a robust business model to operate so you want to make sure that you put your faith and trust into a credible company.
You will need to make sure that all of the services you will need is part of the fee and not additional to charges that you are paying, such as.
Umbrella payroll service
Timesheet chasing
You should be chased for your timesheet on the day that it is due to be signed off. How else will you be paid on time?
Raising invoices
Your invoice should be raised and distributed within 4 working hours of receiving your timesheet.
Raising 3rd party expenses
All 3rd party invoices (expenses) should be raised at no extra cost.
Processing expenses
All your expenses need to be processed, which includes advising you with how to remain tax efficient, reminding you to submit your expenses, checking and approving your expenses, and filing any receipts.
Salary sacrifice advice
You should be advised with ways to process salary sacrifice schemes such as a Pension, Give As You Earn, Childcare vouchers, Ride to work & Mobile phone plans.
Process payroll
You are paying for your payroll to be processed accurately on time, everytime.
Process P60
Your P60 is processed at the end of the financial year.
Statement of earnings
A statement of earnings is available upon request.
No tax returns
You benefit from a PAYE payroll so there is no need for tax returns – you should not be completing any returns.
No paperwork
All your admin burden should be removed.
Posted payslips
All your original payslips should be posted & email statements sent after every payroll.
No expensive accountants
You should not be reliant on automated services to receive your payroll – who is going to pay your bills if your Umbrella company does not process your payroll.
Applying tax codes
Your umbrella company should support you with processing the correct tax code.
Process student loans
Your umbrella company should support you with processing any student loans.
Holiday & sickness pay
Do you have provision for holiday and sickness pay when you are not contracting?
Pay as you go
You should not be charged when you are not in a contract.
Quality Control
Monthly satisfaction checks should be made with contractors and agencies to control quality standards.
Customer services for contractors
One point of contact
You should a direct line to your very own personal business manager.
No call centres
You should have immediate access to your personal business manager – what happens if there is a problem with your payroll?
No reliance on an automated service
Your personal business manager needs to resolve issues before they arise.
Response within 2 working hours
Are you sick of your messages not being returned – you need to make sure any messages will be guaranteed a response within 2 hours.
Pro active reminders
Your personal business manager should contact you with any outstanding matters.
Out of office service
Your personal business manager should be available between 8.00am and 8.00pm with emergency contact available during weekends. What happens if you need to speak with someone?
Arrange personal meetings
You need to be able to arrange a face to face meeting with your personal business manager at our head office or at a client site. How do you know if your Umbrella company is someone running a business from their bedroom / garage at home?
Personal advice
You need to receive updates with industry news, legislation changes, impact of budget changes, and general tax advice - if your Umbrella company does not know what is going on – then who will?
Mortgage references
Your umbrella company needs to write reference letters for you when you require a mortgage / loans?
Employer references
Your umbrella company will need to write an employer's reference for any future employment – you may not be able to secure employment if your umbrella company does not provide one for you.
National Insurance application
Your umbrella company should support you to obtain your NI number.
Job hunting advice
Will your umbrella company help you with CVs, interviews and psychometric testing to support you secure your next contract or are they only interested in you when you are a paying customer?
Career development
Will your umbrella company find relevant training courses to help you develop with your career?
Personal financial Advisor
Your umbrella company should put you in touch with your very own personal financial advisor to help with your personal finances.
Free networking events
Do you receive free invites to networking events for contractors so you can meet like minded contractors.
Compliance for contractors
Employment contract
Are you being issued with a fully compliant employment contract?
HMRC approved dispensation
Does your umbrella company have a market leading expenses dispensation? All policies will vary and different umbrella companies will have varying agreements with HMRC for their employees.
IR35 compliance check
Will your umbrella company advise you with your IR35 status?
Process quality audits
Is your account audited on a regular basis – if not then you could be investigated.
£20 million professional insurances
How much insurance cover is your umbrella company providing you with?
Employment rights advice
As an employee you will need support with employment rights.
Recruitment agency service
Agency liason
Will your umbrella company liase with your agency on your behalf?
Agency contacts
How many agencies is your umbrella company working with? This will give you an idea of how scalable their business is.
LTD company documents
Your umbrella company will need to forward a Certificate of Incorporation, VAT registration and company bank details to the agency. Will they be able to do this?
Contracts and extensions
The umbrella company need to administer all your paperwork for contracts and extensions in a timely fashion otherwise you could lose the contract.
Credit control
Will your umbrella company chase outstanding monies and allocate them to your account – or are you required to do this?
CV submission
Will your umbrella company distribute CV's to all of their local and national agency contact.
Increase your earnings as a contractor by using Tarpon's free umbrella salary calculator.
To speak to one of our tax experts call 0800 434 6402.
