Switching to an umbrella company may sound like a complicated process. However, in truth, moving away from a permanent role or contracting through a limited company is easier than you think and the registration process with an umbrella takes no time at all.
How do you switch to an umbrella company?
The term “switching” suggests you are already working either as a permanent employee or as a contractor through a limited company. You will need to stop/finish your current contract and let your employer/client know that you are seeking temporary work and want to use an umbrella company for your payroll.
Once you are ready to take a new assignment though an umbrella company, you are free to join whichever provider you desire, unless you are working via a recruitment agency who has a strict Preferred Supplier List (PSL). If this is the case – you will need to use an umbrella company that is recommended to you by them.
What is the joining process of an umbrella company?
When you are ready to switch to an umbrella company, the joining process is amazingly easy. Firstly, it is recommended you give the umbrella company you want to join a call to discuss your take home pay. They should be able to give you an instant and accurate take home pay projection, as well as explaining how umbrella companies work and answer any questions you may have.
Once you decide you want to go ahead, you will be required to complete a registration form asking you for important information including your role, rate of pay, bank details etc. Once you have completed the registration form, you will receive a contract that you will need to sign and return to the umbrella company at your earliest convenience. Make sure you read the contract thoroughly and are happy with how the arrangement works. Remember, umbrella companies are fairly straightforward arrangements so don’t worry.
Only switch to a compliant umbrella company
All compliant umbrella companies should offer you an almost identical take home pay figure. This is because the only thing that should vary amongst providers is their margin – the fee they charge to carry out your payroll and the associated administration. Be wary of any umbrella companies offering you unrealistic take home pay figures because the chances are these are tax avoidance schemes that could land you in serious trouble with HMRC. Typically speaking, you should expect to retain between 65 and 75 percent of your salary through an umbrella company.
Why should you contact Umbrella Company UK?
Founded by professionals with over 20 years’ experience in the contractor payroll industry, Umbrella Company UK is the perfect umbrella company to take care of your payroll requirements. Compliance has always been our priority and you can be assured that when you register with us, you’re in the safest hands.
Sign up with us and immediately benefit from:
- Free £25 million insurance cover for your peace of mind
- Employee Benefits, including Sick Pay, Maternity Pay and Paternity Pay.
- Same Day Faster Payments, meaning you’ll be paid on the same day we receive your funds from your recruitment agency/end client.
- No hidden fees, including no joining or leaving fees. You will only pay our competitive margin when you are paid by us.
Please complete the short form on this page or give our friendly team a call on 01707 669023. We’re here to help!
Are you looking to switch to Umbrella Company UK from an existing umbrella company? This is even easier! Please complete the short form here.