Registering with an umbrella company is one of the easiest ways of contracting and how most Huntswood associates start out.
If you have chosen this option, you will become an employee of the umbrella company. As an employee of an umbrella company, you benefit from employment rights through your umbrella company, such as maternity pay, paternity pay, sickness pay, etc.
All of your employment earnings will be processed through the PAYE system. Your umbrella company will handle your invoicing and taxation obligations through PAYE. Umbrella companies are not impacted by IR35 legislation.
Providing services to an end user client as an associate is very different to being an employee of that client because you do not have a direct contractual relationship with Huntswood or the end client. It is therefore helpful to understand the contractual relationships between the parties involved in the provision of services. An overview of the contracting model can be found here.
Payment Process:
When you choose to work through an umbrella company, your umbrella company will sign a contract with Huntswood for the provision of your services. This is generally referred to as the Assignment Schedule.
Once you start providing services and submitting your timesheets, payment for the services you provide will be made by Huntswood to your umbrella company in accordance with the approved timesheets. Bear in mind you will not need to raise a separate invoice for your time worked on a project, your umbrella company will be responsible for collecting your timesheet data from Huntswood.
In turn, your umbrella company will be responsible for producing payslips and issuing your salary to you in accordance with the terms and conditions of your employment contract. The umbrella company will ensure that all the required statutory obligations are met before paying you. To ensure this process runs as smoothly as possible you should ensure that you:
- Make yourself familiar with your umbrella company’s terms and processes. You will enter into an employment relationship with the umbrella company so we recommend you review and understand your relationship with your selected company.
- Complete any other paperwork the umbrella company may require.
- Understand your umbrella company’s policies and instructions with regards to timesheet submission and payment timeframes.
The arrangements for invoicing and payment of fees by Huntswood to your umbrella company will be as set out in the Assignment Schedule agreed between Huntswood and your umbrella company and will be based on the rates agreed.
If you have any questions regarding statutory deductions or PAYE, please contact your umbrella company for further information.
HUNTSWOOD’S UMBRELLA PROVIDER
Whilst you are free to register with any approved umbrella company, the Huntswood Group does offer the services of Husp Limited, our own umbrella company tailored specifically to cater for the needs for the Huntswood Associate.
Being part of the Huntswood Group, we have merged industry leading expertise with a deep understanding of the world of Huntswood and how we service our clients. As a Huntswood associate, it is key that you are aligned to our vision of delivery and being part of Husp will help you represent Huntswood in the best way.
Through Husp you will have access to preferential payment terms not available outside the Group and a close working relationship with all the key teams of Huntswood that you will engage with during your career as a Huntswood associate.
PAYMENT TERMS
Husp Ltd
Huntswood operate on a monthly in arrears pay cycle. The pay due to you for your approved timesheets for a calendar month will be paid on the 14th of the month (or nearest working day) for the previous month worked (e.g. timesheets submitted and approved for October would be paid on the 14th November).
It is your responsibility as a Huntswood Associate to ensure your timesheets are submitted and approved using Huntswood‘s systems as instructed. If you are an employee of Husp Limited, Husp will guide you accordingly.
Other Umbrella Companies
The amount due to your umbrella company will be paid on the last working day of the month for the previous month worked (e.g. timesheets submitted and approved for October would be paid on the last business day of November).
The arrangement for when payment will be made to you for your time worked will be as agreed with your chosen umbrella company. Please speak with them if you have any questions related to pay.