Umbrella Service Sheet


Frequently Asked Questions


How much do you charge?

We charge £25 each week only for weeks worked. You will not be charged if you are not working. There are no hidden set up or leaving charges.

What about my VAT, PAYE and NI liabilities?

By using NoPalaver Umbrella Company you no longer need to worry about any of these things. We take care of all your PAYE and NI liabilities. PAYE and NI are deducted and paid to the HM Revenue & Customs by us on your behalf.

What happens if I do not have a P45?

If you do not have a P45 we will send you a P46 to complete. This will ensure that you have the correct tax code and are paying the appropriate level of tax. You will be allocated a Basic Rate Tax Code until we receive your P45/P46. Your tax code is issued to you personally and reflects your earnings to ascertain any allowances calculated in your pay.

How is National Insurance and Income Tax calculated?

Employers National Insurance and Employees National Insurance is calculated using the HMRC rates as appropriate at that particular time. Your PAYE (tax) calculation is dependent on the tax code issued to you and previous earnings to date.

Do I get issued with a P60 each year?

Yes. A certificate of tax deducted (P60) is prepared and issued to you after the end of each tax year. Please retain this important document as we cannot issue duplicates. You may need this document in relation to a self assessment, personal taxation and income proof in the future.

Can I claim Statutory Sick Pay or Paternity/Maternity pay?

You will be able to claim, if you meet the Government’s criteria.

How do you calculate holiday pay?

Under the rules for holiday pay, you have to be paid for 24 days holiday in a year (assuming you work 5 days per week). As a contractor who may not work regular hours or not work for part of the year, the only practical way to deal with this is to allocate part of your income to holiday pay each week and include it in the payment to you. The holiday pay is therefore calculated at 24/260ths of your total gross earnings for the week or month.

How do I claim for holiday?

You don't, because we do not withhold any of your money whilst you are working, although we do suggest that you set aside the holiday proportion of your earnings each week to provide your own holiday pay.

How am I paid?

Assuming we have received money from your agency, we calculate your wages and pay you via BACS transfer on the same day. Should you require a CHAPS payment, we would require a days notice to ensure this is set up in a timely manner. We are also able to pay to non-UK bank accounts via an International Payment Order.

What are BACS payments?

BACS means Bank Automated Clearance System. Funds are transferred from NoPalaver to your bank account directly, but can take up to three days to clear depending upon the receiving bank.

What are CHAPS payments?

A CHAPS means Clearing House Automated Payments System. CHAPS payments are made directly into your bank account with no bank processing delays, so your money is guaranteed to arrive in your account by 5pm on the same day that the transfer is made. However, there is an additional charge made by the bank to facilitate this.

What is an International Payment Order?

An International Payment Order is necessary if you have a non-UK bank account. This allows us to transfer funds from our UK account to the foreign bank account. To enable us to make these payments, we would need an IBAN and a SWIFT or BIC code which relates to the account. However, there is a small additional charge made to facilitate this.

Do I still need my company or accountant?

NoPalaver Umbrella Limited provides a complete back office function and accountancy service in one. This ultimately saves you time and money, leaving you free to concentrate on your contract and job in hand.

Can you help with my tax return?

As an employee of NoPalaver Umbrella Limited, there is no reason why you should ever be issued with a tax return. If you have been, tell us and we will let you know how we can help.


What Insurance cover do I receive from NoPalaver Umbrella?

Our employees are covered with Public Liability and Employers Liability Insurance.

What is Public Liability insurance?

This protects against a claim from a member of the public who has been hurt or had their property damaged and blame the contractor.

What is Employers’ Liability insurance?

Employers’ Liability covers legal expenses and compensation costs for employee injuries or illness that occur while working and where the employer is responsible.


What is my employment status?

In the UK, you cannot legally work without a contract of employment in some form and this carries certain responsibilities and obligations for the employer. NoPalaver Umbrella Ltd enters into a legally binding contract with the agency/end client. This contract states that we will supply them with a contractor who has the necessary skills to satisfy the clients’ requirements. The agreed rate for the services performed will be paid to NoPalaver Umbrella Ltd over a prearranged period of time. The agency/client will choose to use a contractor rather than a permanent employee if they do not wish to assume the ‘employment rights’ that are associated with permanent employees.

NoPalaver Umbrella assumes those rights and subsequently ‘employs’ you; therefore the requirement for a contract of employment has been fulfilled. Your status as a contractor will not be affected and your working processes will not be altered but you will have the assurance that you are working in a manner which is completely compliant with current employment and financial legislation.

Do I need to be concerned about IR35?

As an employee of NoPalaver Umbrella Ltd, you will not fall within the IR35 rules. You will be paid via PAYE only and will not receive dividends in any form. NoPalaver Umbrella Ltd does not offer a Composite or Managed Company Scheme.

What do I do when my contract ends?

Our umbrella service has no termination fee; you only pay when we process your timesheet/expenses. However, when you are about to start your next contract, just tell the agency that you operate through NoPalaver Umbrella Ltd and we can continue to provide you with a safe, compliant and tax efficient service.

What if I decided to leave NoPalaver?

If, for whatever reason, you decide to leave NoPalaver, all you need to do is tell us. We will collect all outstanding funds and make a final payment to your bank account. We will then be able to issue you with a P45. We will, with your permission, keep your details on file so you are set up and welcome to rejoin us at any time.

What happens once I have been working at the same client site for 24 months?

When you have been at the same client’s site for 24 months, or you become aware that your contracted period will extend beyond 24 months, your workplace is no longer deemed as temporary. At that point, if you spend 40% or more of your time at that site, you will no longer be able to claim travel between home and that place or accommodation expenses.

Can I refer friends and colleagues?

We greatly appreciate referrals. As a token of our appreciation for recommending a friend or colleague to us, we will pay you a £50 bonus once they have worked for 6 weeks through NoPalaver.

Please contact us to speak to us straight away or request a callback.