Statutory Maternity Pay – Advanced funding for directors.

Being a limited company director, when you find out you are going to have a baby or adopt a child, you can apply to be funded in advance for your statutory pay through HMRC.

How this works?

From HMRC financial help is always available to small businesses when they require assistance with their cash flow for making statutory maternity, paternity, adoption, and shared parental payments to employees, and that includes directors or directors of a limited company. At present, this is up to £6,074 if you or your employee is entitled to 39 weeks at the statutory maternity pay (SMP) rate of £151.20.

Limited company’s statutory payments (except for sick pay) would normally be offset against the company’s PAYE liabilities during the normal course.

However, you can apply for advance funding from HMRC if the total of your PAYE deductions for income tax, National Insurance Contributions (NICs), student loans, and so on is less than the cost of the statutory payments you are required to make, hence it is a great help.

We can Help?

Direct Assist – Chartered Certified Accountants can help with this – just get in touch.

Bounce Back Loan Investigations

If you are being investigated for BBLS or any other wrongdoing in relation to a Bounce Back Loan (BBLS) you should get legal help immediately.

Regarded as the savior of small businesses, the Bounce Back Loan Scheme (BBLS) was intended to help businesses adversely impacted by the coronavirus avoid insolvency.

Huge sums of money have been paid out through the scheme, but there are major concerns that the self-certification process and light touch checks to determine eligibility have led to major exploitation of the system.

Some estimates are that 1% of all Bounce Back Loan applications are fraudulent, meaning something in the region of £400,000,000 of taxpayers’ money could have been obtained illegally. Other estimates put the figure as high as £23bn.

The National Crime Agency, police, and other agencies are focusing their full attention on all allegations of fraud and wrongdoing, investigating cases across the country with increasing speed and determination.

If you are unsure about your position with your Bounce Back Loan or have become aware of an investigation, you should seek professional help.

Whether you face an investigation for fraud, may have to repay the money in the future, or if your business has trading difficulties and may need to enter a formal insolvency procedure, it is far better to deal with the situation while you still can.

We have professional solicitors at our penal who can help you through these investigations or help you through your insolvency.

UMBRELLA SERVICES

If you’ve decided that run your own business as a limited company you might consider working through an Umbrella Company. An umbrella company is a separate company that acts as an employer for contractors working on contracts. An Umbrella company is also an intermediary between the contractor and their end client or agency.

Once you have chosen an umbrella company there are the typical first steps you will take as an umbrella company employee:

  • The umbrella company will sign a contract with the recruitment agency.
  • You will sign an employment contract with the umbrella company.
  • Each week you will submit your timesheet details to your umbrella company.
  • The client confirms your worked hours.
  • The umbrella will submit an invoice to your agency on your behalf.
  • The agency will then pay the umbrella for the invoiced sum.

The Umbrella Company processes the payment and any chargeable expenses and deducts the necessary tax and NI contributions. An Umbrella company provides a payroll service to its employees and pays its employees a salary after deductions.

You will receive your money less tax, NI contributions, and the Umbrella services margin.

Umbrella employment solution is ideal for contractors and freelancers who are planning on working on shorter assignments or are just starting out. Our service and help in your Umbrella Company take care of all the necessary tax and NI calculations and payments on your behalf. Umbrella employment solution is perfect if you want a hassle-free way to get paid. We handle all of the administration associated with contracting so that you can concentrate on contracting yourself!