How Much to Pay for an Umbrella Company

Umbrella Company - How Much Should You Pay?

The service an umbrella company provides is invaluable to a contractor. The umbrella company does so much, and does everything a contractor hates to do. An umbrella company does:

1. All the administration

2. Takes care of the red-tape

3. Keeps a record of all the paperwork

All umbrella company services provide the same basic functions, though there is a huge variation in charges from one umbrella company to the next. You could pay from £5 a week to over £100 per week for the same service!

Worth Shopping Around

What you must do is compare prices between umbrella companies - and that's so easy to do with Contractor Supermarket. Before you register with an umbrella company you need to know exactly what the charges are before you sign up. Make sure you ask if the umbrella company has any extra charges.

Contractors understand they have to pay for a service, and don't mind - as long as there is value in it. You'll be getting an umbrella company with a fully qualified back-office team who are paid to get you paid!

How do Umbrella Companies Charge?

Umbrella companies charge for their services in different ways. Some umbrella companies charge a percentage other umbrella companies will charge a flat weekly/monthly fee while some charge per invoice raised.

Don't go for an umbrella company pricing structure that is a percentage of your contract income. Some contractor umbrella companies still work this way and it can disadvantage the contractor.

• Chose an umbrella company that charges a fixed fee price.

It's Not All About Price

When considering which umbrella company to register with, remember customer service & customer satisfaction are just as important as the cost. Contractors should try and check out the reputation of an umbrella company before joining, and not rely too heavily on what their own website says.

A great way of doing this is to see how one umbrella company ranks compared to all the others.