Because our scheme uniquely enables you to avoid both employers and employees national insurance contributions, this is far more tax efficient than any existing arrangement you may have in place and makes even short term membership very lucrative indeed for you.

A scheme tailored to your needs

With the Redego Group Personal Pension Scheme you benefit from:

• Up to 69% tax relief at source, even basic rate taxpayers save 39%
• No set-up fees whatsoever
• Flexible investment levels, you decide what goes into the scheme each month
• A fully portable pension (if you leave Redego you are free to continue investing or can transfer without penalties)
• A wide fund choice so you can choose exactly how your money is invested (you have access to specialist independent advice too).

Our Independent Financial Adviser partners at ContractorFinancials can also help consolidate any other pensions you may have built up elsewhere and this can also be done with no set up fees whatsoever. This means that you can bring any existing retirement nest eggs into one manageable basket. The low annual management cost of the Redego scheme could work out far cheaper than the charges of older style pension schemes.

Access your pension monies sooner than you think!

Even with those massive tax savings of up to 69%, Contractors may sometimes still be put off pensions as a savings vehicle because you have to wait until old age to access the funds. However, you could be able to get your hands on the funds sooner than you think though.

You have the option to release 25% of your pension as a tax free lump sum as soon as you reach age 55 (and still keep working if you wish). This allows Redego clients to fund home improvements, pay off your mortgage or take that trip of a lifetime – literally from money that would have gone to the tax man had you taken a higher salary whilst at Redego.

Who are ContractorFinancials?

They are Independent Financial Advisers who specialise in offering financial solutions tailored to the unique needs of Contractors. They work closely with Redego to offer clients a complete financial planning service which also includes advice on other investments, contract based mortgages and protection.

To find out more about the tax benefits on offer using the Redego Group Personal Pension Scheme call Andrew Gains or Kate Woodhatch at ContractorFinancials on 0845 062 8888 or email andrew@contractorfinancials.com for a no obligation illustration of the benefits.

A freelancer might be one of the following:

- short term employee of a client or an agency
- employee of an ‘umbrella’ company
- self-employed individual
- director and shareholder of a limited company (also known as a personal service company or PSC
Advantage and disadvantages of each option

Umbrella
An umbrella company, in addition to the agency PAYE legal provisions regarding salary etc, also allows you to claim bona fide expenses, which means more pay in your pocket. You have no admin, no commitment, no hassle and no limited company statutory or legislative worries and responsibilities.

Self-Employment
A self-employed individual is usually paid gross, unless working on a construction project, and simply needs to keep a record of their business related income and expenditure and submit accounts once a year to HM Inland Revenue with their self-assessment.
All agencies and some clients may not agree to contract on a self-employed basis.

Limited Company (PSC)
Setting up a limited company should not be a short-term proposition, as it requires genuine commitment. Managed properly, running your own company has a number of advantages: being in control of your own business, the freedom this brings and the ability to optimise your income.

With all this in mind, you need to make sure your decision to freelance is primarily a lifestyle choice.
Don’t be influenced by employment and tax laws as they undoubtedly change.

We will guide you through the legislation and compliance procedures and any changes to them, and you can be confident that you are receiving the best accountancy support and working as safely as possible.
Our accountancy, tax advice and support services remove as much of the administrative burden as is appropriate and provide guidance, to ensure you meet your responsibilities.

You can call us to discuss any questions you may have about our services, or if you need help in assessing other accountancy and support services you have come across.

Once you have made your mind up, getting started is extremely easy.

Call Justin now on 0845 094 0060 to find out what solution is best for you.

Click here and submit their email address and contact number and we will do the rest!

* Once you’ve both completed 6 weeks payroll with Redego.

Redego is providing a framework for auditing compliance with the requirements of the regulations either by proving that the worker has similar or better terms than their equivalent permanent colleagues, or by showing that you or the worker is ‘out of scope’ of the regulations.

Where neither of the above options are practical or possible, we can offer workers a ‘Pay between assignments’ contract at no extra cost to them or yourselves.

Redego is also providing online calculators for temporary work agencies to use in determining equivalent pay rates for their workers.

We can also provide your workers with a free consultation to see if they would benefit by operating through their own Limited company via Tempo Accounting. The legislation specifically excludes contractor who are in business on their own account.

The legislation will be introduced in the Finance Bill 2011, and become effective from 6 April 2011 onwards. The inclusion of anti-forestalling measures that became effective on the 9th December 2010 mean that from now payments of this type fall within the scope of the new measures.

The proposed legislation states that sums earmarked by trusts or other intermediaries will be treated as though it is a payment of income that is liable to PAYE tax.

Because of this ruling we believe that use of an EBT is no longer an option for your contractors.

If your contractors are using an EBT Company, then they should immediately consider their options as they have now been made a target by HMRC and with the wide ranging MSC legislation this could also prove risky for agencies who are continuing to use these services.

Be aware that EBT providers are trying to find a quick solution which could represent further danger!

How can Redego/Tempo Accounting help?

We will contact your contractors and give them a personalised assessment of their options and the likely impact on their take home pay within a few hours. Click here to request a call back.

The services that we can supply you, subject to your requirements, will all meet the criteria below;

• No off-shore ‘tax avoidance schemes’; UK based services only
• Either limited company or umbrella company services
• No set up or leaving fees and no minimum contract period
• Unlimited advice for contractors by specialist consultants and accountants covering many different technical aspects

Please call 0203 137 64 62 now for a free consultation.

The conventional approach to signing and returning contracts (a combination of post / fax and email) is often the ‘bottle neck’ in an otherwise efficient placement process.

Larger big-budget agencies have been using “electronic signatures” to sign contracts for years, however SignatureSense’s low monthly subscription fee for agencies makes this modern business practice available to even the smallest of companies.

Alan Whitford, industry veteran and founder of RCEuro.com, the Pan European community site for recruiters, commented on SignatureSense:

“I think that this offering should be a ‘no brainer’ for recruitment businesses, where the time lost in the administrivia of contract administration can lead to lost revenue and poor client service.  The electronic signature ‘wrapper’ is ideal for confirming NDAs, Terms of Business and Contractor Agreements, all in real time. We will certainly be using the service for our future agreements at RCEuro.”

Jon Richardson, Founder of SignatureSense added:

“We are really excited to see that Agencies find such a direct benefit in using our service.  It’s only a matter of time before electronic signatures are common-place, so the ‘early adopters’ are making the most of a great competitive advantage.”

Redego are now able to offer real-time reporting of working hours to agencies.  This enables agencies to ensure that the Working Time Regulations (WTR) are being complied with and the added ability to plan future projects with reference to hours worked.

Agencies can view reports showing which contractors are close to exceeding their maximum average hours.  This makes compliance and planning much easier for agency consultants.  Whilst we always ensured our workers are given their statutory rights, this new system shows agencies and their clients that we are doing this and gives them the ability to use the data to plan future work.

The new online system is especially useful for workers on project rates where it has been difficult to monitor rest breaks.

Its proving particularly popular with agencies who engage manual workers on project rates – the risks of injury and reducing quality of work are much greater for these categories and end-clients want to know its being managed properly.

The new online system lets workers input their rest breaks with the click of a mouse as they submit their timesheet and is very simple for contractors to use.

Under the WTD regulations, all employers have to ensure that workers have adequate rest-breaks:

• maximum hours worked – avg 48 per week in 17 week rolling period
• adequate rest breaks, so workers do no more than:
  • 13 hours in any 24 hour period (day) – cap of 13 x 6 = 78 hours
  • 1 days off (rest days) in every 7 day period (week)
  • statutory minimum holiday periods (28 days not working in addition to ‘rest days’)

Whilst this is the responsibility of the employer (the umbrella company), most clients and agencies reckonise their responsibilty in ensuring they only use compliant umbrella companies that can show they are acting responsibly to protect workers’ welfare.

Another benefit of the new system is greater accuracy when calculating contractors’ National Minimum Wage (NMW) which is a key contractual element of remuneration in most umbrella companies.  Getting this wrong, can attract attention from HM Revenue & Customs (HMRC) both on breach of NMW legislation but also PAYE/NIC compliance as contractor expense claims are invariably affected by minimum wage.

With the Agencies Workers Directive now looming Redego also recognises it is key that Agencies must now work closely with their payment providers to guarantee compliance.

Redego agreements are straightforward and typically cover the following areas: -

Service levels

We can agree certain key service levels that may be important to you such as:

·         Advance payments.

·         Payment dates.

·         Contract turnaround time for new contractors.

·         Special compliance requirements (e.g. working time hours monitoring, pay levels).

·         Online services  (e.g. online timesheet management branded as your agency).

Contractor discounts

Depending on volume of business, we can provide attractive discounts available exclusively to your agency.

Revenue generation

With sole supplier agreements we can implement fee sharing schemes, where we agree a percentage of revenues go to your agency depending on number of workers.  This can be between 15% – 55% of fee income.

If you are interested, could you give us an indication of the typical numbers of contractors you have and an idea on how you would like to structure the agreement?  This is with regards to the balance between revenue and contractor discounts.  Then we can provide a definite proposal.

Please call or email me if you would like to discuss this further:

Justin Phillips

Justin@redego.co.uk

Tel: 0845 09 400 60

• One large umbrella company – will pay same-day for an extra fee.
• Another large umbrella company – pay ‘same-day’ but on the day after receipt.
• Others – pay by same-day but only on one particular day per week.

Redego pays same-day, every working day (we haven’t missed a day!).

Our customer service promise is to pay contractors’ cleared funds into their bank account on the same-day we receive funds from their agency.

For full details please visit our website.

Some of the many benefits of our payroll service include:

Fully managed state-of-the-art online system, branded in your own name.

Trained support staff for you and your contractors.

Tax-efficient payments at no cost to your workers.

Convert payroll from an overhead to a revenue source.

Increase cash flow by 50% compared to Umbrella Company.

Clear and simple pay advices for your contractors.

Same-day faster payments made by us on your behalf.

Full online management of timesheets, contracts, health & safety, working time management etc.

All payroll end-of-year forms, tax-code changes, P45s etc are handled by us.

Eliminate VAT issues in finance, medical and other zero-VAT sectors.

Our fully managed service requires minimal involvement by agencies. Simply check timesheets and authorise the final payments (all online) and we take care of every other aspect of your payroll.

Tax savings on legitimate expense claims are shared between the worker and the agency. These savings often exceed the cost of running payroll so many of our clients save money whilst gaining a superior payroll service.

For more information please read more on our website and contact me for a free quote, Justin Phillips on 0845 054 55 60 to discuss details further.