- Your World

Direct engagement with Your World

Your World operates a daily payroll throughout the year for candidates who engage with and who are paid directly by Your World. This payment is direct to your account and gives you peace of mind that your tax affairs are being dealt with compliantly and in a straightforward way. All of our end clients allow us to pay you via our own payroll (except in the instance of Direct Engagement by them – see below). Our strong preference is for you to engage with us directly on our payroll rather than via an umbrella company.

Engagement via an umbrella company

For most end clients in the public sector, and a few in the private sector, you can choose to provide your services through an umbrella company. The umbrella company then becomes your employer and will make all of the necessary deductions/payments for tax, national insurance and other statutory deductions/payments. The hourly rate we agree to pay your umbrella company includes an amount to cover employer’s national insurance, which they are legally obliged to pay as your employer.

The umbrella company needs to have passed our detailed compliance checks, however if you choose to provide your services via an umbrella company there can be no guarantee that they will make the necessary deductions at all times and you do so at your own risk. You should therefore review your payslips to check that PAYE tax and national insurance has been properly deducted. The umbrella company will control the timing of payments, and it is your responsibility to ensure your tax affairs are being dealt with appropriately.

Unfortunately, over recent years many umbrella companies have been shut down having failed to operate in a compliant manner. This can lead to candidates being out of pocket where the umbrella company closes at short notice and can also leave candidates liable for any tax and national insurance contributions which have not been paid over correctly by the umbrella company. Umbrella companies also charge a fee to make payments to candidates each week.

Umbrella companies should not make payments to Personal Service Companies. This can lead to significant tax liabilities and is contrary to the agreement we have in place with the umbrella companies.

Please note, some end clients have a list of umbrella companies they have approved and require any candidate choosing to engage via umbrella company to be a company from that list.

HMRC guidance for what to expect from an umbrella company can be found here Working through an umbrella company - GOV.UK

Payment directly by us to your Personal Services Company (limited company)

In most cases, engaging with us via your personal services company will not be permitted. An exception would be if the end client expressly determines that your assignment is outside IR35 (i.e. genuinely self-employed), enabling us to pay your PSC gross of tax and national insurance contributions. NHS end user clients typically do not allow this method of engagement.

Direct engagement by the end client

In some instances, the end client will undertake to pay you directly through their own payroll. In such circumstances you will be notified of this prior to the engagement starting.

Summary

Our strong preference is for you to engage with us directly on our payroll, and believe it has the following benefits for you:

No fees or hard to understand deductions
The only payment method suitable for all engagement types
Direct payment to you on a daily basis, with direct resolution of any queries
Peace of mind your tax affairs are being dealt with compliantly, with no hidden surprises
We can deal with any payroll queries direct with you - no other organisations involved
Eliminates the risk of an umbrella company closing at short notice, leaving you unpaid
Higher net pay compared to a compliant umbrella company making the correct PAYE deductions (since we won't charge you a fee)*

*Note: for an illustration please see YWRG---Net Pay Comparison by Pay Method

We want to be as transparent as possible regarding your options; please see the links below to ‘Further information’ and ‘Key Information Documents’.

If you wish to be paid by an umbrella company, Your World has shortlisted a selection of umbrella companies that have passed our detailed compliance checks. However, please note that we ultimately cannot guarantee that any umbrella company, as a third party, operates compliantly – if you choose to engage via an umbrella company you do so at your own risk.

Your World has shortlisted a selection of umbrella companies that many of our candidates have given us positive feedback about:

Tel: 01992 929 170	Workwell Tel: 01923 257257	Sapphire Accounting Tel: 01625 539 997
ForeTwo Group Tel: 0808 196 9601	Generate Tel: 0207 231 0349

Candidate communications

Click any of the below candidate communications we have sent to view them. If you would like to receive future communications directly to your email, please click here.