Umbrella companies pay

Re: Umbrella companies pay

fnewboult — Mon, 17 Feb 2014 00:32:31 GMT

I wouldn't say you HAVE to use an umbrella company no. If the practice is happy to pay you direct and you're happy to do your own accounts then no need for one. Where it can get complicated is if either the practice is not happy to deal with you direct or the position turns into a more long term one and the practice doesn't want to put you on their payroll (the latter happened to me and I'm having to use the services of an umbrella company to keep things legal, could have gone down the ltd company route but I'm not really looking to locum forever and setting it all up with take more time than I have right now). If you go totally self employed then you are still going to lose a chunk of your pay to NI and tax and you'll need to work all your own expenses out. As I don't earn megabucks and my expenses are very minimal I'm basically having an umbrella company pay the money into my bank (and take a percentage for the privilege) and still sorted all my accounts myself (well my mother has accounting experience so she helps a lot with it and helped me set my tax and NI up) I think what you feel comfortable charging will depend on your experience and maybe on the practice, I'm very much at the low end of the scale cos I'm not long qualified plus I'm getting a lot of good experience where I am that I probably wouldn't get anywhere else in this area.

Re: Umbrella companies pay

Fuzzyduck — Sun, 09 Feb 2014 14:00:25 GMT

I locummed without using an umbrella company, however I found there were some practices who would not take you unless you were using one. CVS being one of these companies. So if youre in an area of predominantly CVS practices you may struggle to get work. It can be done though and I would try to avoid using one unless I couldn't get work any other way. Also £12 an hour is cheap. Most locums I know are charging £13-15 an hour these days

Re: Umbrella companies pay

bunnyshouse — Sun, 09 Feb 2014 13:41:15 GMT

I got out from the umbrella company I was with very quickly as I seemed to be loosing money. could you ask to go PAYE with the practice directly? (although this will depend on how long you are with them). I found this was much better for me.

Re: Umbrella companies pay

Sal the 1st — Sun, 09 Feb 2014 11:25:16 GMT

[quote user="Kat_Sams 1234"]Thank you everyone for your advice! It is nerve wracking, like you said the umbrella companies don't explain everything to you but they are quick at taking your money! Thank you for advising those agencies I will defiantly contact them and maybe try and break away from the umbrella companies. Very disheartening when you work very hard to get where we are as nurses and yet still not getting the financial benefits. Thank you everyone again, these forums are so helpful to me X

[/quote]

exactly - locuming should be about improving your lifestyle and putting money in your pocket rather than helping to fill somebody elses , otherwise you may just as well carry on being 'employee 99'.

Re: Umbrella companies pay

Kat_Sams 1234 — Sun, 09 Feb 2014 11:13:29 GMT

Thank you everyone for your advice! It is nerve wracking, like you said the umbrella companies don't explain everything to you but they are quick at taking your money! Thank you for advising those agencies I will defiantly contact them and maybe try and break away from the umbrella companies. Very disheartening when you work very hard to get where we are as nurses and yet still not getting the financial benefits. Thank you everyone again, these forums are so helpful to me X

Re: Umbrella companies pay

Paulette — Sun, 09 Feb 2014 10:30:03 GMT

[quote user="Sal the 1st"]

Kat save yourself a bit of brass - ditch the umbrella company (umbrella companies are good at putting the fear of God into you because they want your money). You will still be able to get plenty of work. If the practice you want to locum for are asking you to become a limited company just ask them to put you on payroll while you are there and let them take care of your tax and NI. Practices do this so they dont get into trouble at a later date when a locum neglects to pay their own tax and NI. You really do not need to be a limited company, and you really dont need an umbrella company - you just need to keep good financial records and set aside about a quarter of your takings for the tax man and NI. HMRC do run day and 2 day courses on this. It all sounds daunting but really it isnt its not as difficult as it sounds and I know because I have done it myself

[/quote]

Re: Umbrella companies pay

Sal the 1st — Sun, 09 Feb 2014 10:19:01 GMT

Re: Umbrella companies pay

Paulette — Sun, 09 Feb 2014 10:12:36 GMT

Firstly I was trying to help - not scare her

Secondly you are right, I forgot to mention that you can go through an agency or approach a practice yourself and be paid through the practice's own payroll system so apologies for that

Thirdly I was just trying to offer some additional advice as the OP stated they are new to locuming

Fourthly this forum is designed for the veterinary nursing community to come together and help each other with friendly advice - there is no need to be abrupt.

Good luck to the OP with whatever you decide to do :)

Re: Umbrella companies pay

Caro Laithwaite VN — Sun, 09 Feb 2014 09:50:28 GMT

No you don't need have to or forced to become a Ltd company to be a locum through agency's certainly the 2 BEST ones in the county l mentioned don't. You can do self employed, the practice will pay you and sort the tax ni out or you can go umbrella company.

And they do put a charge on the days you locum but that is paid by the practice and does not affect what you ask for and get paid in that respect. I do not know what you charge but a Day rate of between £13 and 14/hr is common nowadays. Depending on if accommodation is supplied and your experience, and this is going via agency's. They are still able to make a healthy wack on that. your needs come first.

And invoices and chasing payments are what you do as a self employed or a Ltd company, it is what anyone does who is one of those 2.

I would say don't go Ltd company yet from comments made you are still to early days but if considered you will need to discuss it with a proper chartered accountant not a standard accountant. It is every expensive and strict.

The question wasn't about working back at a practice and if this was not explained to her by whoever she got her locum jobs for their tough luck she isnt obliged. So quit scaring her

And yes l am a locum and have been for about 8 years

Yes l have been self employed

yes l am now a Ltd company, .

Whatever you do keep good accounts and paperwork

So yes l am probably in pretty good position to explain things myself

Re: Umbrella companies pay

Paulette — Sat, 08 Feb 2014 18:39:37 GMT

It is also worth adding that if you have worked at a practice through an agency in the past, there are strict rules about approaching them on your own in the future (whether you're allowed to or not, time scales etc) so make sure you investigate this first and stick to the rules!

Re: Umbrella companies pay

Paulette — Sat, 08 Feb 2014 18:37:08 GMT

There are some agencies that help self employed locums. You must become a limited company. HMRC run free workshops on how to do this and can help you set it all up.

You then have to invoice the practices yourself and are solely responsible for chasing late/non payments.

You are obviously also solely responsible for your accounts and taxes etc

NI I don't know enough about I'm afraid so I won't comment on that.

It's up to you what you charge! Agencies will negotiate for you and the practice will pay a hefty amount on top of your hourly rate to your agency so hourly rates to the locum will always be lower than if there is no agency involved. If you are self-employed or under an umbrella company you can still approach practices yourself without involving an agency at all. You can then charge higher hourly rates as it will more than likely still be cheaper for the practice than paying agency fees. If do this and you are with an umbrella company then they will invoice the practice for you.

Hope this makes sense and helps in some way. Let me know if anything needs clearing up :)

Re: Umbrella companies pay

Caro Laithwaite VN — Sat, 08 Feb 2014 18:16:23 GMT

As far as l know A1 (Ann) and Shona Hostler (Jenny) dont want you to join an umbrella company no way would l but thats by the by.