Not 2 sure what its all about ....but have heard a few lads saying its gonna hurt large contractors.
Anyone know any details on this ??
You tick those boxes re subcontractors every month,the rules are here and have been but the recession stopped them been enforced,lots pay employees through agencies to get around this,IS this another attempt to force everyone onto the books?.
The law is as far as I remember a real sub contractor has to price work,has to supply materials etc, an employee is paid by the week/month,does not supply or price ,So this is a better way for the average self employed plasterer.....a chance to price the units directly themselves ??
Cutting out the middle man ??
Some of the laws state if your to carry on employing lads (self employment)
You HAVE to be onsite working with them !!
Like lots of unknowns ,it depends. The work will always need to be done, if you are a small firm with 2/3 employees and are now responsible for paying NI ,holiday pay,sick pay,etc,have to have contracts for employees ,can't just sack them it might be too much for some,So this could end up bad for subbies ??
It's a game really . Depends on how you play it and if everyone is on the same page,Been saying it for years.as long as your invoice to contractors doesn't say 40 hours @ 15 ph for example.
It needs to look like they have given you a price for the work they do
What rules are you on about?Not 2 sure what its all about ....but have heard a few lads saying its gonna hurt large contractors.
Anyone know any details on this ??
Do the goverment have a clue about anything ??
This had been the case for years, there's nothing new about it.Like lots of unknowns ,it depends. The work will always need to be done, if you are a small firm with 2/3 employees and are now responsible for paying NI ,holiday pay,sick pay,etc,have to have contracts for employees ,can't just sack them it might be too much for some,
Enforcing it is or would be newThis had been the case for years, there's nothing new about it.
My accountant said the exact thing. No mention of days or hours just state "works as agreed £xxx" on the lads invoices and that keeps them off your backBeen saying it for years.as long as your invoice to contractors doesn't say 40 hours @ 15 ph for example.
It needs to look like they have given you a price for the work they do
Ive spoken to an accountant says its being enforced some time this year.
This had been the case for years, there's nothing new about it.
Google "self employment a headache"
Then click on "cnplus"
Date 2nd june 2015
Lots of builders won't pay sick or holiday , I assume you must do?This rule has been around for a few years now. If you employ a labour subby over a period of time they are deemed as employees. You will have to pay employee NI on their earnings.
There are ways around it. Price work is one. There has to be a risk of loss to be deemed as a subby. If the subby cannot lose as cor example being paid by the hour then you have a problem.
Whats the problem with paye? It is easy with the right software. Easier than the CIS scheme imo. Plus as it is they cannot easily move to a competitor.
My two are on paye and have been for years. Best go LTD though in case the t wats sue you. Same for subby's though.
My paye software does everything for you now it is real time withthe hmrc. Even end of year. It deals with cis as well.
Or pay through agenciesThey all do the same couple weeks/ months work lay you off for a couple days to break the chain been doing it for years on sites
Nice info to haveSmall co's like mine pay sick pay but then it is paid back through NI contributions due. The paye software does it for you. If the sick pay exceeds NI contributions at the end of the tax year you can claim it back. Sock pay cost me zilch.
Holiday pay is a % of wages earned. But when I was an employee, employees got 80% of a subby"s wages. The 20% paid for holiday pay, and other what an employee takes for granted.
My other spread is wanting more as usual. I told him I can get a subby cheaper but if he wants subby's rates then fine. Get CIS registered, a van, his own whisk and a full set of tools with straight edges and spirit levels then he can have subbies rates. Then I deducted the cost of a van alone and he is better off staying ignorant with the most basic of basic tools you can have. He doesn't even own a stanley knoife or tape measure.
That usually shuts him up for a month or two.