What is PAYE?
(1 minute to read)
In the UK, Pay As You Earn Tax is the system that HMRC uses to collect Income Tax and National Insurance Contributions (NICs) from employees' pay as it is earned.
The amount due is calculated by your employer according to HMRC regulations then deducted from your earnings before being paid to HMRC each month.
If you chose to operate via a Limited Company, a good accountant, such as our sister company Dolan Accountancy will register you for PAYE with HMRC. They also would help you make PAYE payments to HMRC each month, and tell you how much money to retain money in the company for corporation tax and VAT. It is a litte more complicated than going Umbrella.
Contractor Umbrella would take care of all of you PAYE and VAT payments to HMRC you won’t even have to complete a self-assessment tax form for the income that you earn whilst on assignment with us – so why not let us make your life that little bit easier?
If you have any questions about the figures produced by the Take Home Pay Calculator, then please contact our team on 01206 591 000 or email us at email@example.com.