PAYE, CIS or Umbrella - Straw Poll please Gents?

Mike Mann

Mike Mann

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I am pricing some tenders for hiring scaffolders and would like to ask the Forum what the general consensus is for what is the most popular method of taxation for doing a temporary agency assignment:

1/ PAYE
2/ CIS
3/ Umbrella

They all have pros & cons and each have different cost implications for the Employer/Agent.

Any sensible comments would be welcome...
 
I think agencies shouldn't be using umbrella companies as it adds an insult to injury with regards to our disappearing wages just my opinion. Fair play for asking us
 
Phil181-no dig or travel money
Havespannerwilltravel-£25 would be nice but no contractor would pay that in the uk construction industry at the minute
Stevo-you favour PAYE so that's one
 
Mike Mann said:
Phil181-no dig or travel money
Havespannerwilltravel-£25 would be nice but no contractor would pay that in the uk construction industry at the minute
Stevo-you favour PAYE so that's one
Click to expand...

How do you know they wont pay 25 an hour? Have you asked them?

Here is an idea. If you and all the other agencies set a minimum rate of 25 quid an hour for scaffs they would have to pay wouldnt they?
 
I love the way some guy at a desk tells us about our industry what we should and shouldn't be paid! God I hate agencies
 
Cis If Its Done Right, Failing This It Has To Be Paye, But Never An Umberella Company You Would Generally Find If Scaffolders Have A Utr Number Already, They Are Fairly Switched On About Everything Else, Ie Tax And Paying Your Own National Insurance.
 
The boss didn't leave UNI and think he knows everything about scaffolding and how much we should be paid!
 
Umbrella companies cost the scaffolder money and the country. They should be outlawed and imprisoned.
 
I was going to add patronising but had the odd boss like that too! Lol
 
Mike Mann said:
I am pricing some tenders for hiring scaffolders and would like to ask the Forum what the general consensus is for what is the most popular method of taxation for doing a temporary agency assignment:

1/ PAYE
2/ CIS
3/ Umbrella

They all have pros & cons and each have different cost implications for the Employer/Agent.

Any sensible comments would be welcome...
Click to expand...

And more importantly, different cost implications to the scaff! On a scaffs forum, I'll think you'll find that should have more of a priority rather than what's best for the employer/ agent - just saying! ;)
 
The umbrella company's days are numbered already. HMRC are sending out letters to companies, strongly worded in warn companies using umbrella systems. What most people don't realise is that an umbrella system is a tax loophole that will be closed eventually.
 
Tom Lard said:
The umbrella company's days are numbered already. HMRC are sending out letters to companies, strongly worded in warn companies using umbrella systems. What most people don't realise is that an umbrella system is a tax loophole that will be closed eventually.
Click to expand...

Haha not until the recession is finished
 
Ok straw poll so far is 1 for PAYE, 1 for CIS, 1 for Cash in hand, 1 no thank you and 0 for Umbrella...

---------- Post added at 12:47 PM ---------- Previous post was at 12:32 PM ----------
BetterTAX said:
And more importantly, different cost implications to the scaff! On a scaffs forum, I'll think you'll find that should have more of a priority rather than what's best for the employer/ agent - just saying! ;)
Click to expand...
Good point BetterTax
The way the PAYE/CIS/Umbrella dynamic works it has cost implications with both agent & worker alike. End result is mixed up non-level playing field.
 
It should only ever be CIS if the job is price work/sub contracting and NOT as many companies use it for, as a way to get out of their obligations to pay scaffolders holiday pay and any other 'benefit' a worker in 2013 should be entitled to. If you're getting an hourly rate, you should be PAYE and enjoy the entitlements that come with it.
 
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