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How National Insurance Contributions (NICs) are calculated
Contractors may be liable to pay National Insurance Contributions (NICs). Calculating how much should be paid depends on the nature of their earnings.
�Most limited company contractors working outside IR35 pay little or no NICs because they pay themselves� �agency payroll and those on fixed-term employment contracts do. Unlike income tax, NICs are only applied to a� �cy payroll and those on fixed-term employment contract pay NICs Class 1 NICs rates for the 2013/14 tax y�
Category: Articles: Tax Issues | Thu, 02 May 2013

Contracting, subcontractors and AWR: when do the Agency Workers Regulations apply?
Contractors subcontracting client work to other contractors may find the Agency Workers Regulations could apply.
�is a very different test from those applied under IR35 . Subcontractors who qualify as out of scope The� �kers.’ And an agency worker ‘is someone who has a contract with the temporary work agency but works temporar�
Category: Articles: Agency Workers Regulations | Tue, 15 Aug 2017

Negotiations with contractors - guide for firms hiring contractors
Contractor negotiations are usually handled by the agent. But, if a client does deal direct, understanding contractor negotiations is key.
�ser who is a specialist in contractor affairs and IR35 . It is quite normal for the contractor to ask fo� �when hiring direct When the client is hiring and contracting direct with the contractor, they are responsible� �awyer, as they are the service provider. Once the contracts have been finalised the contractor will send the� �kely to cover rates and any specific terms in the contract the client or contractor would like to be include�
Category: Articles: Hiring Contractors | Mon, 25 Jan 2010

Moving from permanent to contracting - case study 4
We interview a first time contractor in Project Management who shares his experience of moving into contracting for the first time.
�tacted me out of the blue. Q) How did you address IR35 issues? My wife (a qualified solicitor) and I pou� �nagement who shares his experience of moving into contracting for the first time. Interview Q) How long had you� �Luckily an agent phoned me out of the blue for a contract position which was perfect for me. After an inter�
Category: Articles: First timers | Wed, 26 Jul 2006

Contractor doctor: can I go contracting even though I might become unwell?
Under normal conditions, contractors don't get sick pay. But they can get insurance that will cover days lost to illness, assuming they aren't missing work due to a pre-existing condition.
�is a key element in proving that you are outside IR35 , a piece of tax legislation that applies to some� �term aim has always been to go from permanent to contracting and felt the time was just right recently, having� �ust do is to turn up at work for every day of the contract. 'When the contractor misses work, all of the oth�
Category: Articles: Contractor Doctor Q+A | Wed, 26 Sept 2007

Contractor doctor: how do umbrellas calculate contractors’ national insurance
When contracting inside, employer's National Insurance contributions are calculated on the gross income billed to the client.
�Dear Contractor Doctor, I’ve been working inside IR35 and would like to know if there is any difference� �r PAYE/NI Salary Calculator . Good luck with your contracting! Contractor Doctor�
Category: Articles: Contractor Doctor Q+A | Thu, 10 Jul 2008

Contractor doctor: can clients withhold payment over disputes about equipment not returned?
Clients do have the right to claim compensation from contractors who lose equipment but, as David Royden of Laytons Solicitors explains, they cannot withhold payment.
�d be a contributing factor to putting them within IR35 . But when a contractor does have to use their cl� �s if equipment goes missing.” Good luck with your contracting! Contractor Doctor� �d. I've suggested that the card is cancelled. The contract states that any assets should be returned at the�
Category: Articles: Contractor Doctor Q+A | Thu, 24 Jul 2008

Contractor doctor: does taking a break get around the 24 month contractor expenses rule?
Answers a contractor's question about the 24 month expenes rule and explains the rules in detail.
�nses rule. I have been providing services outside IR35 and via my lmited company to my current client fo� �However if I wanted to come back to take another contract with the company at a later date how long a break�
Category: Articles: Contractor Doctor Q+A | Thu, 25 Jan 2018

How pensions work for contractors
This article explains how pension contributions can save you a fortune in taxes and enable you to enjoy your savings plus interest when you reach age 55.
�ou work through a limited company and are outside IR35 first the company pays corporation tax on the com� �nt. Now contractors can place up to 100% of their contract income into a pension. In addition the rules rega�
Category: Articles: Pensions | Fri, 06 Feb 2015

Contractor doctor: can I leave early even without a termination clause?
Advises an unhappy contractor how to get out of a contract without a termination clause.
�he pay is terrible, made worse by being caught by IR35. I would really like to leave and am applying for� �to hear things are not going well for you whilst contracting. There might be little point chatting to your age� �or Doctor, I'm currently 3 months into a 12 month contract. The work is stale and the pay is terrible, made�
Category: Articles: Contractor Doctor Q+A | Tue, 17 Jul 2018