Any IT Contractors here?
- Thread starter Equites
- Start date
If your getting a contract in the public sector, it'll be awhile till anyone knows whats happening with IR35 has the HMRC are being so vague with the information. If your contract is in the private sector you don't need to worry about IR35 for a few years....
For an accountant I use Clearsky they are one of those online portal type. You enter all your details each month and they do the rest in the background.
cheers
Tony
For an accountant I use Clearsky they are one of those online portal type. You enter all your details each month and they do the rest in the background.
cheers
Tony
iamjimmi said:
That was true in the past but the HMRC were pretty much beaten in court when they tried to enforce it so as long as you had your contract worded correctly they couldn't do much. As of April 2017 they are bring in a set of new rules for public sector contracts which is causing alot of contractors like myself to leave so that we don't get caught by IR35. All very confusing best place to read about it is on Contractor UK. At the moment taking contacts in the public sector is a bit risky as no one understands the new HMRC rules... Stay Private sector
Contractor here.. I advise to to get reasonably priced local chartered accountant. At least they know what their doing and can help if the sh*t hits the fan, rather then chatting to random person over the internet. You can normally negotiate a yearly figure especially if they are small or family run business.
Prices for inni:
Inniaccounts prices link
£77 - £147.
Online accts suits me cos I'm comfortable doing some of the leg work myself.
If you would prefer more support, a personal accountant might be the way to go - but you get what you pay for - and they will usually be more expensive...
Inniaccounts prices link
£77 - £147.
Online accts suits me cos I'm comfortable doing some of the leg work myself.
If you would prefer more support, a personal accountant might be the way to go - but you get what you pay for - and they will usually be more expensive...
Equites said:
Make sure that your contract doesn't have the NHS as either the client or your place of work that its the private company, which I suspect it will be the private firm.
With the internet accountants you are reminded to put all your invoices/expenses etc on the online portal every month and I find because I'm lazy and forgetful having to do it is good for me. I found that when I used a local accountant at the end of the year I would be going through shoe boxes of receipts and invoices etc getting organised. Its what works for you.
Ravi_s said:
I second this, I walked into such a place almost 10 years ago saying I was thinking of doing what you're thinking of, and walked out with a limited company, VAT registered, bank account etc pretty much all sorted, with a lot less hassle than I expected. I pay on average more than the £130/month but that's more than saved in tax efficiency and I spend the time I'm not doing my accounts & tax earning the money to cover paying someone else to do it
Although I will say our intention was to provide services to many businesses rather than contract, we set up to contract just in case it was needed, and some contracting was indeed done, it was varied and ad-hoc enough to not to have to consider IR35 applying at all.
My understanding is there is a lot of regulation coming in to just make what was previously arguable just plain disallowed. A lot of contractors are going umbrella and paying full PAYE, accounting for holiday pay etc to avoid any issues. There must be something in that, but I'm not really that familiar with it all any more to know.
All in all it depends on what you're doing and the kind of time demands and money involved.
What route did you go down in the end?
In a similar vein what are the general expectations for what one should be paying in terms of employees and employers NI along with income tax above the personal allowance of 11K whilst keeping it squeaky clean and avoiding the people from HMRC coming knocking?
In a similar vein what are the general expectations for what one should be paying in terms of employees and employers NI along with income tax above the personal allowance of 11K whilst keeping it squeaky clean and avoiding the people from HMRC coming knocking?