Contractors and freelancers in the UK who source temporary assignments through a recruitment agency are often given two options for their payroll – using the agency’s in-house PAYE payroll or registering with an umbrella company. This can often cause confusion because it’s not always clear which option is most suitable. In the table below, we have compared Churchill Knight Umbrella’s service with agency PAYE*.
To find out more about Churchill Knight Umbrella’s FCSA accredited umbrella service and to request a free, tailored take-home pay calculation, please click here, or call our friendly team on 01707 871622.
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Churchill Knight Umbrella |
Agency PAYE |
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| The option to claim expenses (travel and subsistence) if you are not subjected to Supervision, Direction or Control (contact us for more information). |  |
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| Continuity of employment – making it easier for contractors and freelancers to gain external finance, such as a bank loan or mortgage. | |
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| Ongoing support from a dedicated Umbrella Company Payroll Team, who can help answer ongoing questions and provide advice – as and when requested. | |
Support will depend on agency’s processes |
| A higher, “uplifted” assignment rate to factor in the employment costs (Employee’s National Insurance Contributions and the Apprenticeship Levy). | |
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| Free insurance cover, including £10 million Employers Liability Insurance, £10 million Public Liability Insurance and £5 million Professional Indemnity Insurance. | |
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| The option to work on multiple assignments at the same time. | |
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| Become an employee who has signed and returned a Contract of Employment. | |
Depends on the agency’s processes |
| Access to Statutory Benefits, including Sick Pay and Maternity/Paternity Pay – just like an employee in a permanent role. | |
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| Easy registration and support from a dedicated Onboarding Department. | |
Depends on the agency’s processes |
| No hidden fees. | |
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| Transparency from the beginning throughout your time using the payment method. | |
Depends on the agency’s processes |
| Referral rewards when you refer a friend or colleague to the payroll service. | |
Depends on the agency’s processes, but unlikely |
| Minimal ongoing administration and support as and when you need it. | |
Depends on the agency’s processes |
| Option to take advantage of tax-efficient pension contributions with Salary Sacrifice. | |
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| Compliant tax and National Insurance deductions – to ensure you follow the correct rules and regulations set out by HMRC. | |
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| HR advice for any workplace grievances or disputes. | |
Depends on the agency’s processes |
| Free, impartial consultation to discuss working through a personal service company (PSC) on assignments outside IR35 – if you want one (and easy transition between PAYE and limited). | |
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| Assistance with self-assessment completion and submission – if you need it. Free review to discuss your self-assessment and to determine whether you need to complete one. | |
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| Advanced payments are vailable if there are issues with timesheet approval etc. – ensuring there is no delay in payments to workers.^ | |
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Churchill Knight & Associates Ltd and Churchill Knight Umbrella are proudly accredited by the Freelancer and Contractor Services Association (FCSA). The FCSA is the UK’s leading professional body dedicated to ensuring the supply chain of temporary workers is compliant with HMRC’s rules and regulations. We believe that being an accredited member of the FCSA is the best way to showcase our commitment to compliance within our sector.
Whether you’re using one of our limited company accountancy packages (Churchill Knight & Associates Ltd) or you’re an umbrella company employee (Churchill Knight Umbrella), you can rest assured knowing that you are in the very safest hands.
*The table on this page is for illustration purposes only. Agency PAYE will vary between recruitment agencies, and for a better understanding, please contact your agency and ask for a breakdown of their PAYE service. To learn more about Churchill Knight Umbrella’s service, please call 01707 871622. If you are a recruitment professional and interested in adding Churchill Knight Umbrella to your agency’s Preferred Supplier List, please call our dedicated Agency Support Department on 0808 2525533. Churchill Knight Umbrella is proudly accredited by the Freelancer and Contractor Services Association (FCSA).
^Depending on the agreement in place between Churchill Knight Umbrella and the recruitment agency.
