PAYE for contractors

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0800 458 0818
Whether you want to ring us, request a callback or chat online with our experts rest assured that no matter how you get in touch, you'll always get the best advice

All UK workers have to pay Income Tax on their earnings once they reach a certain threshold.

There are a few ways to do this, such as filling out a tax return and paying it in lump sums.

Another way is to deduct tax and National Insurance every time you’re paid, known as Pay As You Earn (PAYE). The amount due is worked out by HMRC and then deducted by the employer – sounds simple doesn’t it?

For contractors, it’s not that easy. That’s because as an independent professional, you’ll be expected to work out how much tax you’ll need to pay. This could result in hours of paperwork and potentially costly mistakes.

Can an umbrella company help? 

In short, yes. If you join an umbrella company, such as Parasol, we’d be your employer – meaning we’ll take care of your Income Tax obligations on a PAYE basis. This cuts down the amount of admin you’ll have to complete – leaving you free to get on with what you do best.

How much could I earn? 

Good question! If you’d like to find out an estimate of what your take home pay could be if you joined Parasol, our handy calculator can help.

Of course, the exact amount you could walk away with depends on your own circumstances. If you want a more personalised calculation, please contact our best advice team on 0800 458 0818.

Calculate your income

Are there any other benefits to joining Parasol?

Actually, yes! As well as sorting out your tax, we also offer a range of perks. These include:

  • A £20 million insurance package
  • 24/7 online portal to manage your timesheets and expenses
  • Full employment rights and benefits, including holiday, sickness, maternity and paternity pay

For more information on the benefits of joining Parasol, contact our team today.

Call our best advice team free on mobile
0800 458 0818
Whether you want to ring us, request a callback or chat online with our experts rest assured that no matter how you get in touch, you'll always get the best advice