Here are some of the questions that come up time and
again, but if you have anything else on your mind then please
get in touch.
Q, As a contractor, am I entitled to holiday pay?
A, Contractors operating through their own limited company, or
following a partnership or sole-trader model are not employees and therefore do
not benefit from any employment rights. Contractors joining pulse become employees
of pulse and so are entitled to employment rights and benefits, including holiday
pay.
pulse handle holiday pay in a straightforward way – every time we pay you,
we will make an on account payment to you in respect of the holiday that you have
accrued. So, we will pay you in advance for your holidays.
Q, Am I insured as a pulse employee?
A, Yes, as an employee of pulse you will benefit from the following
inclusive insurance:
£1m Professional Indemnity insurance
£5m Public Liability insurance
£10m Employers Liability insurance
Q, Is pulse a managed service company?
A, No, pulse is not a managed service company. You will not
be a director or shareholder. Upon joining pulse you become a pulse employee and
receive all money via our compliant PAYE payroll service.
Q, I’ve received quotes from a number of umbrella companies and all the figures
are different, why is that?
A, All UK umbrella companies operate under the same PAYE legislation.
If provided with the same information regarding your anticipated business expenses
then each umbrella should provide you with the same return. If an umbrella company
offers a higher quoted return than pulse then they may be either exceeding allowable
expenses limits or operating a non-compliant payroll. Either way, be wary of these
operators as they may be placing you at risk of a future tax bill and fines.
Q, What is an expenses ‘dispensation’?
A, Essentially a dispensation is an agreement between HMRC and
pulse to reduce the amount of paperwork to manage expenses. Under a dispensation
there is no need for pulse to include allowed expenses on an employee P11D and there
is no need for the employee to include expenses on their tax return. There is a
degree of misrepresentation in the industry about what dispensations are for. They
are not a carte blanche for you to claim for expenses you haven't incurred, and
the Government has said it will take action against companies that abuse the dispensation
system.
Q, Do I need to submit receipts for expenses?
A, Yes, you will need to send us receipts for expenses claimed.
This is easy to do using our Freepost address and is explained in our expenses guide.
Q, Do pulse pay sick, maternity and paternity leave?
A, Yes, as long as the statutory requirements are met, you will
receive these benefits. More details can be found in our employee handbook.
Q, How quickly will I be paid?
A, If you’re with a bank that supports faster payments then
you’ll receive your pay the same day we are paid. This applies to all major
UK banks, except for Santander (Abbey National) and Nationwide Building Society
accounts, for all amounts up to £10,000. Otherwise BACS takes 2-3 days. You
can elect to receive CHAPS same day payments instead, but we’ll pass on the
cost of this service, £20.
Q, How do I tell you my hours?
A, You use our fast and simple online portal.
Q, Will I be paid monthly or weekly?
A, This will depend on the payment cycle of your contract/agency.
If they pay us weekly we will pay you weekly.
Q, I have more than one contract and can I be paid more than once each week/month?
A, We pay you every week/month as soon as we receive you money.
If we receive multiple payments for you (say in the same week) then we will pay
you the first immediately and will pay you the second amount in the following week.
Q, What ID you I need to provide?
A, If you’re a UK citizen we’ll just need to take a
copy of your passport, if you’re not then we’ll also need some other
proof of your right to work in the UK. You can get copies of your documents certified
at a Post Office so that we need only the copies. This is straightforward and is
explained in our sign-up process.
Q, How long will the agency take to pay?
A, This depends upon the specific payment terms of your agency,
but we recommend that you get us a weekly timesheet by close of business Friday
and monthly timesheets on the last day of the month so that we can immediately invoice
for your work.
Q, Do I get taxed on your fee?
A, Strictly speaking, it's not a fee. It's the difference
between what we receive and what we allocate to your account, which makes it, in
the jargon, a margin. We deduct £27 (weekly) or £99 (monthly) from the
contract income, which is before tax. So, the actual cost to you is less, and the
exact amount will vary from one person to another depending on your individual tax
circumstances. It will cost a typical higher rate taxpayer £14.10 (weekly)
or £51.69 (monthly).
Q, Why do you deduct Employers' National Insurance from the amount you pay me?
A, Strictly speaking, we don't. We deduct it from the amount
we are paid by your client or agent, and the amount that remains, broadly speaking,
is your taxable salary. We are required to pay Employers' NI by law.
Q, How do I get a mortgage or other credit as a contractor?
A, As a member of pulse you are an employee, you will be able to
benefit from this and provide payslips to prove your income. If you require any
help with this our preferred firm of independent financial advisers "pulse money" are
on hand for impartial advice.
Q, Am I taxed on expenses?
A, No there is no tax or National Insurance deducted from legitimate
business expenses.
Q, Do I get a payslip?
A, Yes. This will be posted on our portal so that you can view
or print it.