Self employed or employed

[likeitorlumpit]

No worries about the Hi-jack Hodge, I appreciate yours and everyone elses contributions to this hazey subject.

 

The reason why I started the discussion was because the guy I was working with for 3 days a week has just knocked down my rate for the 3 days as his accountant was making sure I got what I wanted as my day rate and was costing the employer way above what he should of been paying me, as he was paying me my day rate plus my tax and ni contributions.

 

He has now adjusted my rate to less as he is paying my tax etc for me. I was obviously getting a very good deal before, as he was paying me my day rate plus my contributions and now I will lose out. I never asked to be on the books but am willing to commit as he gives me a guaranteed 3 days a week.

 

I wanted to know if by being part time if I should get holiday, ppe etc? I do think that the CIS scheme should be implemented in arb as its such a hazey subject and its something I believe our industry representatives should be working towards as it would make all our lives easier (employers and subbies alike)

 

Don't worry= you should get as a minimum entitlement 18 days holiday per year also he may pay you bank holidays though this isn't a requirement. He will have to train you/ insure you/ provide statutory sick pay. He will have to provide all your PPE. Give you a contract within 2 months. If he gives you a uniform you can claim against your tax code for cleaning. You will have to follow his H&S instructions. There are other things that employment brings. Check out gov website

[Paul Jenks]

I think, Sam, that if you work more than 25% of your time for an employer on a regular basis HMRC see it as employment. Check with HMRC.

 

If you are employed part-time you get your holiday pro-rata depending on the number of days you work. Depending on which days you work, i.e. Mondays, you'll get bank holidays paid off too. You should also get all PPE and equipment to perform your daily tasks and a certain amount of training, assuming the company is good. You'll also get a contract of employment. The company may insist you leave your PPE at work so it is only used for their work.

 

The CIS scheme does apply to arboriculture, it's just that, up 'til now, HMRC haven't been too fussed. Any company who uses subcontract labour is meant to submit a monthly return for all their subbies whether they were paid or not. They also have to deduct CIS contributions at either 10, 20 or 30% depending on the level HMRC deem. The employer/main contractor is always ultimately responsible for any outstanding tax liabilities if their subcontactors are found to be not paying. It's a way of ensuring that companies do the work of HMRC and if they don't they have to pay. The system is there. Ignorance of the system is no excuse.

Many of our clients take CIS contributions from our invoices and we offset this against our monthly PAYE payments.

[Hodge]

I think, Sam, that if you work more than 25% of your time for an employer on a regular basis HMRC see it as employment. Check with HMRC.

 

If you are employed part-time you get your holiday pro-rata depending on the number of days you work. Depending on which days you work, i.e. Mondays, you'll get bank holidays paid off too. You should also get all PPE and equipment to perform your daily tasks and a certain amount of training, assuming the company is good. You'll also get a contract of employment. The company may insist you leave your PPE at work so it is only used for their work.

 

The CIS scheme does apply to arboriculture, it's just that, up 'til now, HMRC haven't been too fussed. Any company who uses subcontract labour is meant to submit a monthly return for all their subbies whether they were paid or not. They also have to deduct CIS contributions at either 10, 20 or 30% depending on the level HMRC deem. The employer/main contractor is always ultimately responsible for any outstanding tax liabilities if their subcontactors are found to be not paying. It's a way of ensuring that companies do the work of HMRC and if they don't they have to pay. The system is there. Ignorance of the system is no excuse.

Many of our clients take CIS contributions from our invoices and we offset this against our monthly PAYE payments.

 

Where do you find out about CIS, my accountant has all ways said I do not come under it?? Then the guys who sun for me would have to be part of CIS too?? It would be good to know what the exact stand on this is.

[Paul Jenks]

Speak to your local HMRC office. Ours in Oxford has always been very helpful.

 

Accountants are just the same as tree surgeons. If you want good advice, ask a good one.

[Paul Jenks]

HM Revenue & Customs: Construction Industry Scheme

[Paul Jenks]

HM Revenue & Customs:Employment Status Indicator

[Marc Lewis]

I did not think arb or forestry comes under CIS as we are not construction?

 

Employers do not have to pay bank hols, they can take this from employees 25 days hol or whatever he/she gets

[likeitorlumpit]

just to emphasise

employees are entitled to 18 days pro rata for part timers. We pay bank hols but at a rate pro rata to their hours

i.e. if a bank hol is in a week they get 1/5 per day they generally work

otherwise this is unfair to those who work tues/ wed/thurs

[Paul Jenks]

https://www.gov.uk/holiday-entitlement-rights/entitlement

[Paul Jenks]

http://arbtalk.co.uk/forum/business-management/10305-cis-registration-where-do-i-stand-2.html