Hi i created limited company, client agreed to pay 35£p/h (crane supervisor)
- Thread starter jdisme
- Start date
christismyking
New member
@jdisme In the nicest way, if you don't know the basic things like what CIS is (because you are being deducted under CIS, you are just unregistered currently which is why they are deducting 30%) and how to set up things like payroll to reduce the tax you're paying when you extract the money to your personal account, hen you should really get into contact with a local accountant. They will save you money by advising what you can claim to reduce corporation tax liability and how to claim back the CIS deducted.
@jdisme I would look a lot more into the tax implications before you make a move. Perhaps talking to a professional would be advantageous in this situation.
You also need to consider pension/benefits for yourself and allowance for taking holiday/sick leave etc, the equivalent contractor wage is more than a salary.
As to whether the amount is right, ask other contractors who do the same thing and be competitive.
You also need to consider pension/benefits for yourself and allowance for taking holiday/sick leave etc, the equivalent contractor wage is more than a salary.
As to whether the amount is right, ask other contractors who do the same thing and be competitive.
@jdisme Firstly set up a meeting with a tax accountant to sort out the tax side and get registered under CIS. The tax accountant should be able to go through what reliefs are claimable and the most efficient way to take earnings out of your company.
As your companies turnover is likely to exceed £30,000 pa you can potentially register for the gross payment scheme once you have at least 12 months of successful trading and being compliant with your tax affairs. Gross payment means all payments would be made without a tax deduction. You do then become solely a completely responsible for paying the correct amount of tax, always put money aside each month for tax if you go down this route.
As you are employed via your own company please check the contract conditions between your company and the companies that have contracted your company. Key things to check are:
- insurance requirements
- Any requirement to provide alternative workers should you not be available
- notification of work / non work, are you contracted to work for set period or "as required".
As a crane supervisor please, please check that you are covered by the main contractors insurance when supervising lifting operations, this should be stated in contract. If not get your own insurance.
As your companies turnover is likely to exceed £30,000 pa you can potentially register for the gross payment scheme once you have at least 12 months of successful trading and being compliant with your tax affairs. Gross payment means all payments would be made without a tax deduction. You do then become solely a completely responsible for paying the correct amount of tax, always put money aside each month for tax if you go down this route.
As you are employed via your own company please check the contract conditions between your company and the companies that have contracted your company. Key things to check are:
- insurance requirements
- Any requirement to provide alternative workers should you not be available
- notification of work / non work, are you contracted to work for set period or "as required".
As a crane supervisor please, please check that you are covered by the main contractors insurance when supervising lifting operations, this should be stated in contract. If not get your own insurance.
