Umbrella Services

UMBRELLA WITH DATAMATICS UK

 

Datamatics UK as an umbrella company solution is helping to ensure you’re always paid on time as a contractor.

When you join Datamatics you become an employee with us and benifit from Day 1 employment rights.

We are experts in offering hassle-free employment and payroll service for UK based fixed term Agency Contractors, Freelancers and Agencies.

All of your administration will be dealt with, such as calculating your tax, National Insurance obligations and making payments to HMRC. Meanwhile, you’ll receive your wages quickly and accurately. If you have any concerns or queries, there’s always someone available to give you the advice you need.

OUR PROCESS

Registration

The application process is quick and easy: you can choose between making an online application and a telephone assisted one.

Paperwork

There will be contracts signed between our umbrella company and employment agency contractor. A contract of employment is signed between the umbrella company and individual contractors

Payments

Once the payment from your agency is received, we will make the payment the same day, usually within an hour. We will deduct tax, national insurance contributions and umbrella services margin before paying the contractor through the PAYE system and a Payslip is issued detailing how their payment was calculated

Statutory Benefits

As an umbrella company employee, you’ll be entitled to statutory rights such as Sick Pay, Paternity, Maternity Pay and leave as well as a pension, all subject to HMRC requirements.

HMRC Tax

We make Weekly/Monthly reports and tax payments to HMRC.

Support

We are quick to respond to email and telephone enquiries.

Insurance

We offer Professional indemnity (£5 Million), Public liability insurance (£5 Million) and Employee’s liability insurance (£10 Million).

KEY BENEFITS

 

  • Fully employed by the Umbrella company
  • No administration cost on set-up or ongoing
  • Usually comes with wide-ranging benefits
  • Text Notifications of when you get paid
  • Continued contributions to workplace pension schemes
  • Refer a friend incentive
  • Secure online portal to track and view your timesheets and payslips

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IR35

UNDERSTANDING IR35

IR35 is a piece of tax avoidance legislation introduced in April 2000 that affects all contractors who work through a limited company or partnership. Sometimes, HMRC refer to such a company as a “Personal Service Company” since the contractor is the owner and director of their own company and they alone provide their company’s service.

INSIDE & OUTSIDE IR35

inside IR35’ means that you are considered, for tax purposes, an employee of your end client and therefore subject to PAYE.

If a contractor was to be considered “inside IR35”, it means that they aren’t seen as self-employed by HMRC and will get taxed like an employee as a result. On the other hand, “outside IR35” means that a contractor is self-employed and works through their own company.

HOW DO I KNOW IF I AM INSIDE OR OUTSIDE IR35?

HMRC has developed an online employment status tool (CEST) for contractors unsure of their liability under IR35. If you are receiving the same rights as that of a permanent employee, for example, holiday entitlement, sick pay, or if you are receiving certain benefits, you will likely be deemed as inside IR35. HMRC uses the following factors to test your IR35 eligibility.

Substitution

Control

Mutuality of obligation (MOO)

Risk

The way in which you actually provide the services is crucial, and whilst HMRC usually begin an enquiry by looking at the contractual terms, they will seek to clarify the terms directly with the end client. If your contract does not reflect reality, any positive elements of the agreement would have very little bearing in an IR35 enquiry. You should therefore always consider a review of your working practices when determining your status.



Datamatics takes pride in its’ role as the employer seriously and will only operate within HMRC guidelines & regulations.