At Icon we understand that starting out as a contractor can come with lots of questions.
If you are coming from a world of full-time employment it can be daunting, confusing and intimidating without the right help & advice. Our experienced and friendly team are here to guide you every step of the way in plain English…letting you get on with your job without any of the headaches of paperwork or difficult decisions!
Here are some of the most popular topics we receive queries on to get you started on deciding which company set up is right for you!
Do I Need to Choose a Company Name?
There is no requirement to select a Company name under the Umbrella Company, however you must do so for a Personal Limited Company. We can help you to decide if you aren’t sure too so don’t worry if the creative naming juices aren’t flowing just yet!
What kind of Bank Account do I Need?
Payment can be made to a personal account when contracting via an Umbrella Company. If contracting via a Personal Limited Company, a business bank account is mandatory.
DO I need to be VAT Registered?
All Icon Accounting Umbrella Companies are VAT registered. A Personal Limited Company may require VAT registration depending on the company turnover. Our team will advise if so and do all of the set up on your behalf.
How does my PRSI Work & What will I be Entitled to?
As a Director of an Umbrella Company and Personal Limited Company payment of Class S PRSI applies. Under a PAYE Umbrella Company payment of Class A PRSI applies. If you have any specific questions on how this will effect entitlements – maternity benefit etc. our team will be happy to help!
Do I need Insurance?
Public and Employers liability, alongside Professional Indemnity are covered under the Umbrella Company. Insurance must be obtained for a Personal Limited Company. We will advise you on the steps required to attain this.
Can I Employ a Family Member?
A Personal Limited Company provides the opportunity to employ a spouse or otherwise. This is not possible under an Umbrella Company. If this is something you are hoping to do in your new business, we will be happy to explain the requirements & how this works.
Will I need to Complete an Income Tax Return?
An Income Tax Return must be filed under the Director Umbrella Company and Personal Limited Company. It is not required under the PAYE Umbrella Company. Again this is part of our service and we will advise you what is needed to supply for this process and along each step of the way to ensure you are compliant and submit all on time.
How do my Business Expenses Work?
Tax relief on may be claimed on business expenses under the Umbrella Company, however large capital items / company car(s) are only permitted under a Personal Limited Company.
Don’t worry if you are still unsure of which set up is best for you, often both set ups are suitable but one may have a benefit that is important to you or your future plans that sways your decision. At Icon Accounting we assess each new contractor individually so simply get in touch with our team and we will advise you based on your specific needs!