Renting accommodation as a contractor
Renting accommodation as a contractor When is it a benefit in kind? Can the company pay my rent? What if it’s a second place I’m renting? It’s quite common for Limited Company contractors to work at a client location which is a long way from home. Many decide it would make sense and be easier […]
HMRC and tax codes
HMRC and tax codes All contractors will receive a ‘PAYE Coding Notice’ from HMRC at some point which states your current tax code. This code informs employers and pension providers how much tax free income you’re allowed which enables them to calculate how much tax to deduct from your gross income. For Limited Company contractors […]
Cycle to work scheme
Cycle to work scheme – what is it, how much can you claim, how does it work? The cycle to work scheme is a government initiative designed to support and encourage employees to cycle to work. The idea behind the scheme is that this will contribute to healthier employees which has benefits for both the […]
Expenses and disbursements
Expenses and disbursements – what’s the difference? As a contractor you may incur costs in the process of supplying services to your clients. Where the costs are relevant you can pass these on by including them in your invoice. If you are VAT registered it’s important to understand the difference between HMRC’s definition of ‘expenses’ […]
Sick pay, maternity pay and paternity pay
Sick pay, maternity pay and paternity pay What can you claim? How long do you have to work for your company before you’re entitled to claim, and what are the alternatives if you’ve not worked long enough? As a Limited Company contractor, if you fall ill and are unable to work the responsibility lies with […]
When is the best time to convert from an Umbrella company?
When is the best time to convert from an Umbrella company? Some contractors choose the Umbrella route for accepting payment of their client fees. This can initially be an attractive option as all tax aspects are dealt with by the Umbrella, leaving the contractor free of almost all paperwork. However, setting up with an Umbrella […]
Dividend declarations and vouchers – make sure you have these in order before the tax year ends
Dividend declarations and vouchers Preparing for the end of the tax year can be a stressful time for contractors. Working with a contractor accountant can help ease this as they will be able to guide and prompt you to ensure that you have all the right information to hand in readiness. If you are set […]
Getting ready for the end of the tax year – 5 things to think about
Getting ready for the end of the tax year Contractors naturally spend most of their time either working hard for income, marketing and networking to win the next piece of business. After all, ensuring the business keeps rolling in is what keeps the money coming in! However, as a result, the tasks of doing accounts […]
Is running a company really that hard?
Is running a company really that hard? If you are new to contracting or are thinking of switching from an Umbrella company you may be considering whether to set up as Limited Company. At first glance this might seem quite a complicated task and the idea of actually running it, from the accounting point of view, […]
Getting paid when the client has gone into administration
Getting paid when the client has gone into administration Early in February IT service provider 2e2 announced that it had gone into administration. The joint administrators stated that there was literally no cash left in the company. As a result they asked the company’s Data Centre customers to contribute a total of almost £1 million […]