Contractor - Set up a limited company?

Squall Leonhart

I'm in a bit of a quandary here.

I have a job offer to go work for a place as a contractor, with an hourly rate.
Unfortunately it looks like I'll have to set up as a limited company if I am to do this. The company don't deal with sole traders.

I haven't a breeze about this type of thing, and I don't even know where to start. Regarding looking after taxes etc, I assume I'd use an accountant, fair enough.

I seem to recall from somewhere that if I set up as a limited company, I need to pay myself a set salary?

I'm sure there are a billion things I need to know, but time is short and I need to learn fast so I can make an informed decision. Can anybody advise??

goldenhoarde

Using an umbrella company (search with google for companies doing this and what they charge/do!) could be an option for the short term but I am sure there are plenty more here who can advise better!

Avatar MIA

Squall Leonhart wrote: »

I'm in a bit of a quandary here.

I have a job offer to go work for a place as a contractor, with an hourly rate.
Unfortunately it looks like I'll have to set up as a limited company if I am to do this. The company don't deal with sole traders.

I haven't a breeze about this type of thing, and I don't even know where to start. Regarding looking after taxes etc, I assume I'd use an accountant, fair enough.

I seem to recall from somewhere that if I set up as a limited company, I need to pay myself a set salary?

I'm sure there are a billion things I need to know, but time is short and I need to learn fast so I can make an informed decision. Can anybody advise??

It doesn't need to be a set salary, you just need to account for PAYE/ER taxes.

This is likely driven by Revenue policy (not sure if it's ever been tested in court) whereby unless you are a limited company then Revenue are much more likely to consider you an employee of the place where you do business. The company you will be working for are protecting themselves.

Dub_Steve

http://www.iconaccounting.ie/ are meant to be useful for this sort of thing but shop around

L.Jenkins

Unless it's more cost effective to set up your own Company, I'd suggest going with Icon, which the previous poster mentioned.

Squall Leonhart

Thanks all, will look into Icon!

Squall Leonhart

Having looked around it seems that some umbrella companies only work with contractors with a daily rate of 300euro+, I won't be on this rate.

Has anybody any experience of working for an umbrella company on lower than this?

Graham

Squall Leonhart wrote: »

Having looked around it seems that some umbrella companies only work with contractors with a daily rate of 300euro+

Where did you get that from?

Squall Leonhart

From contractorpaysolutions.net;

Our Umbrella Company Strategies are designed for the genuine Contractor and Freelance Professional offering a bespoke approach to tax planning through our unique company arrangements. With a minimum requirement of €300 a day threshold to meet the requirements for this boutique approach, we will ensure all our contractors take home the very best in take home pay.

Graham

So don't use them, pick another.

They do say they operate 'unique company arrangements' using a 'boutique approach'.

Fr Tod Umptious

What line of business is it op ?

I have used Contracting Plus more than once for IT contracts under e300 per day.

Squall Leonhart

Graham wrote: »

So don't use them, pick another.

They do say they operate 'unique company arrangements' using a 'boutique approach'.

True!

It's architectural services.

TheBigGreen

I use Contracting Plus and I'm in an umbrella company for the last 4 years. Find them very easy to deal with.