Why should your contractors use an umbrella company?

The Government classes some temporary workers as site-based and as such gives them some tax advantages compared to those offered to employees who work permanently at one site. These advantages mean that they are officially entitled to claim a range of scale rate payments against income tax with the result that they can increase their take-home pay. To be able to do this, contractors cannot be paid directly by their recruitment agency but must use the services of an umbrella company or a personal service company.

What is an umbrella company?
This is a tax efficient structure that allows temporary workers to increase their take-home pay compared to PAYE whilst being fully compliant with current legislation. It uses the facility to process legitimate business expenses against income tax.

Why Key?
Key has set as its standard, a first class service. Our goal is to ensure that our agencies do not hear from a contractor because of anything we have or haven’t done from one contract renewal to the next. We guarantee to make payments on time, every time and will recompense any contractor in the unlikely event that we fail to meet our own exacting standards. Couple this with the use of SMS messaging to keep the contractor informed of when and how much they have been paid; email payslips, a technically skilled enquiries team and one of the lowest fee structures on the market and we believe that no one comes close to our service.