PPRuNe Forums - View Single Post - Becoming an FI as a contractor
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Old 15th July 2008 | 17:57
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TheOddOne
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Joined: Sep 2004
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From: Down at the sharp pointy end, where all the weather is made.
As you say, umbrella companies have considerable costs of their own which they have to recover, as well as trying to make a profit. You could set yourself up as a sole trader or alternatively create a Ltd company. Either way, you'll be responsible for your own tax and National Insurance arrangements, so you'll probably want to employ an accountant to sort it all out for you - more expense.

Why not become an employee and let someone else worry about it all? I started as a contractor but was only working for one school; eventually they said to me that that didn't want to be exposed to a possible difficulty from HMRC and took me on as a salaried instructor. The major benefit to being a contractor is that you can claim travel to/from work but if you only work for one school at a time, HMRC might catch up with you. Do a search on pprune and find plenty on the subject!

TheOddOne
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