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News: Carrington Umbrella a perfect fit for National Minimum Wage increase

September 30, 2014

The 1st of October sees the National Minimum Wage increase from £6.31 per hour to £6.50 per hour.

All umbrella companies must pay National Minimum Wage by law. If a contractor has expenses that push him or her below the National Minimum Wage then the umbrella company are unable to give the contractor all the claimed expenses.

If National Minimum Wage increases and the umbrella company’s fee is too high the company will not be able to pay the contractor enough to comply with National Minimum Wage legislation. 

While other umbrella companies may well struggle to combine the new National Minimum Wage along with their higher charges and claiming full expenses so they may be forced to withhold paying expenses (hence pushing up tax), Carrington Umbrella’s fixed rate of £11.65 net per week is a perfect fit for the National Minimum Wage.

Compared to other umbrella companies, our lower fees;

  •       Gives a much better chance for all expenses to be paid, rather than being               withheld to satisfy National Minimum Wage
  •       More expense payment means less tax and National Insurance Contribution
  •       Lower fees means less deducted and more net pay in your pocket

If you’re contracting and looking for an Umbrella payroll company with a super low rate (£11.65 per week net) which wont be affected by the National Minimum Wage increase, contact one of our experts on 0203 713 4530 or email contact@carringtonumbrella.co.uk

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