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Home / Simons-Taxes /Personal and employment tax /Part E4 Employment income /Division E4.12 Ensuring engagement packages are effective and compliant for tax and NIC purposes /Tax and NIC aspects of the engagement contract / E4.1205 Is employment, or engagement via another route, appropriate
Commentary

E4.1205 Is employment, or engagement via another route, appropriate

Personal and employment tax

What type of engagement is required—employed, self-employed, agencies and worker status

The starting point in any reward strategy may be to decide whether a task or role should be filled by an employee or someone engaged via a different route. A temporary post might be better staffed by payment through an employment agency. A skilled service might be outsourced to a self-employed contractor, which (if structured correctly) would save further employer costs such as secondary NICs, pension contributions and Apprenticeship Levy payments. The arrangements in force between the parties concerned will normally determine whether a contract is one of employment, or

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