Pay Status – PAYE or Limited Company
There are two forms of payment options available to contractors. The first is to work on a pay as you earn (PAYE) basis. This means your tax and national insurance will be automatically deducted from your gross pay. In order to work through this system you need a UK bank account. Not having a national insurance number will stop you being paid, you can find out how to obtain one here.
Some temporary and contract workers decide to work through their own limited company or through an umbrella company. If you utilise either of these methods, you would invoice us for your gross salary through the relevant company.
Income Tax & National Insurance
If you choose to work through the PAYE system you will automatically be liable for Income Tax and National Insurance. We will deduct both income tax and national insurance in the UK directly from your earnings.
Holiday Pay for PAYE Temps
All contractors accrue holiday enabling you to book and be paid for up to 28 days (pro rata) holiday per year (this comprises 20 ‘basic' days plus 8 ‘additional’ days proportionately accrued over the holiday year).
What are the benefits of the accrual method?
You will receive payment for your holiday at the time you take it; you can even elect to be paid for public holidays (e.g. Christmas and bank holidays).
What is the holiday year?
The holiday year runs from January to December.
How do I book my holiday?
You must get sign off from your line manager. Forward your request to: email@example.com or follow the feedback button on the timesheet portal to ensure you are paid for annual leave (assuming you have accrued sufficient holiday at the point of leave). Ensure that you give both parties sufficient time to find cover for you if necessary.
If I do not take my paid holiday, am I entitled to be paid accrued holiday pay at the end of my assignment?
If you do not take the holiday you are entitled to and you complete your assignment within the leave year, without starting another assignment (through Marks Sattin) for at least two weeks, you will be paid any outstanding leave entitlement.
If I do not take the holiday I have accrued by the end of the leave year will I lose my entitlement?
You will lose all leave entitlement.
How will I know how much holiday I have accrued?
Your payslip will display your total leave entitlement, leave taken and leave remaining.