How to contract for Huntswood

 

There are two ways to become a contractor with Huntswood. While the options are explained below, we do recommend you get professional advice before making a decision.

1. Using an Umbrella Company

This is the simplest route to contracting and the one that most of our contractors choose. By using a third party umbrella company, you are effectively employed by them. So, for a small fee you get your tax and invoicing taken care of. Your umbrella company invoice Huntswood directly, and you will receive a salary from them - based upon the terms you agree with them individually.

Plus, by using the standard PAYE route, you maximise your income and ensure that you have no nasty surprises from the tax man. You also get employee rights such as maternity and sickness pay.

There are lots of umbrella companies to choose from. Our preferred supplier is JSA Services Limited: www.jsagroup.co.uk. We have a strong working relationship with JSA, and we have already completed our due diligence on them, meaning it’s quicker for us to set up your account. If you choose another umbrella company, just let us know in plenty of time - we will need to check to see if they are on our approved list.

2. Limited Company

Setting up your own limited company means you effectively become an employee of that company. One of the benefits might be that you pay less tax overall. However, running a limited company comes with more risk and administration. Unlike using an umbrella company, as a contractor you are responsible for producing your end of year accounts and registering for VAT (where applicable). You must also agree your own employee rights.

Some other things you will need to do:

  • Make sure you have insurance (including professional indemnity insurance of at least £1,000,000)
  • Ensure you don’t fall foul of IR35 (an experienced accountant will be able to guide you here)

As Huntswood will be contracting with your limited company, it’s important that you fully understand the accounting procedures. We certainly recommend you seek professional advice on this.