We run multiple payrolls every day of the week. If your payroll is run on a Monday or Tuesday, you will receive the funds into your account the same day. If your payroll is run on Wednesday or Thursday, you will receive the money on Friday morning. If you get paid on a Friday, payment will hit your account anytime up to 20:00 on Friday.
We send all payments by electronic bank transfer to your account.
On the day we run your payroll, you will get a text message informing you. Once the payment is completed, your payslip will be available on the Eezytime portal.
As a contractor, your pay will be in three elements. Your assignment rate contains PAYE rate, plus holiday pay and employer costs. We calculate and deduct employment costs to arrive at your gross taxable pay. You will see a payment of 'salary' at the national minimum rate. Holiday pay is calculated on a pro-rata based on 5.6 weeks of holiday per year. We advance this to you each time you are paid unless you tell us that you want to retain it. Finally, the remainder of your gross taxable pay is shown as additional pay.
Your take home pay is based on a number of different factors. They are your pay rate, the hours you have worked, your tax code and the value of any allowable expenses you process. If all of these factors remain the same from week to week then you should receive a consistent amount into your account.
Yes. Holiday pay is included in your pay rate by your agency. It is calculated at 12.07% of your hourly rate. For each payment, we calculate the holiday pay element and pay it to you every week as a portion of your total wage. You can opt for us to retain your holiday pay so you can ask for it when you take holiday.
Contractor employees do not pay the employment costs. These costs are invoiced to the agency on top of your pay rate and are paid from the monies received. Your assignment rate is therefore uplifted from the PAYE rate to include all employment costs.
The tax system is based around the annual tax free pay allowance split over 52 weeks of the tax year. Your tax code indicates how much your annual allowance is. We allow this weekly amount of tax-free pay when we work out your tax deductions.
If the role you are being paid for through Umbrella.co.uk is a second income, or if you have a pension which attracts your tax allowance, you must inform us. If you don’t, the tax code we use might be wrong and you might underpay tax which HMRC will eventually ask you to pay back.
We will send you a P60 soon after the end of the tax year. This is a summary of your taxable earnings and tax paid during the tax year. You should keep this safe as you may need the information it contains.
The same information is sent to HMRC as a standard employer process.
If your only income in any particular tax year is paid through an umbrella company then all tax has been deducted at source and you would not need to complete a self-assessment.
You would however have to complete one if you have other untaxed income, or you are earning in excess of £100,000 per annum or HMRC send you one for completion.