Payroll services for Off-Payroll Workers

Take home more than with an Umbrella, with no hidden fees and total flexibility, whether you're working via an agency, directly with an end client, or via Hubbado

  • Just £50/month, no hidden fees
  • Simple, easy to understand holiday and expenses process
  • Pay into your own pension scheme

Our Features

Take Home More

Take Home More

Fixed £50/month fee for payments, payslips, HMRC compliancy and pension deposits

Remain a Freelancer

Remain a Freelancer

As an Off-Payroll worker you are considered a freelancer, unlike an umbrella, which employs you and has restrictions around holiday, expenses and pension schemes

No Hidden Fees

No Hidden Fees

Opt in and out easily, with no hidden fees for changes (holidays, pension), no deductions for holidays or sick pay allowance. We can also submit your Self Assessment tax return for an extra fee

Total Flexibility

Total Flexibility

Pick your own personal pension scheme, choose to get paid as an individual or Ltd company, broader types of expenses can be claimed via self assessment

Benefits of switching to Hubbado Off-Payroll

Hubbado Off-PayrollHubbado Off-PayrollUmbrella CompanyUmbrella Company
Service fee£50 / month£70-£100 / month
Pension SchemePick your own pensions schemeLimited selection of umbrella workplace pension schemes
Changes to your profile (e.g. holidays / pension %)No chargesExtra charges for every request
HolidaysAny days not worked are not billedUmbrella sets aside some basic pay for estimated future holidays
Claiming work expensesHMRC self assessment tax rebate (including home office and some travel expenses)In line with umbrella policy (usually excludes home office and all travel expenses)
Suppliers for Placements, Payroll & Payments1 supplier for allAgency for placements Umbrella for Payroll Both for payments
Handling paymentsGet paid as an individual or limited companyOnly pay to an individual working as an employee of the umbrella

Hubbado Off-Payroll Worker tax calculator

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Your Results (for tax code 1257L)

Service feePensionPAYEEmployer NINITake home pay

Earn £8,000.00 in October 2024 and take home £4,802.47 in your pocket after £1,657.54 PAYE tax, £302.76 national insurance, £50.00 hubbado service fee, and your £358.57 monthly pension payment.

In FY2024 you could take home £57,629.64 with hubbado.

Income£8,000.00
Income

Amount Hubbado receives

Employer NI margin£828.66
Employer NI margin

Amount of Employer NI Hubbado pays

Monthly Pay£7,171.34
Monthly Pay

Basic Payment amount on your payslip

Hubbado service fee£50.00
Hubbado service fee

Hubbado fee deducted pre-tax

Pension£358.57
Pension

Pension deducted pre-tax

Gross income£6,762.77
Gross income

Gross Income declared to HMRC

PAYE tax£1,657.54
PAYE tax

Total amount of tax to pay

National Insurance (NI)£302.76
National Insurance (NI)

Total amount of NI to pay

Take home pay£4,802.47
Take home pay

Payment to your bank account

Calculator Tax and NI rates correct as of 6th April 2024
How we worked out your PAYE Tax and NI
Personal Allowance£1,048.00Amount you can earn before paying taxTaxable Income£5,714.77Amount you can be taxed onPAYE (Pay as you earn tax)£1,657.54Total amount of tax to pay20% Basic rate£628.33Amount taxed at 20%40% Higher rate£1,029.21Amount taxed at 40%45% Additional rate£0.00Amount taxed at 45%National Insurance (NI)£302.76Total amount of NI to pay0% below £1048/month£0.00Amount paid at 0%8% from £1048 - £4189/month£251.28Amount paid at 8%2% over £4189/month£51.48Amount paid at 2%
Email me my offpayroll tax calculation for tax code 1257L
Please note this calculator assumes you have tax code 1257L. Have a different tax code?
Request a calculation for a different tax code

FAQs

What is an Off-Payroll Worker?

HMRC states that Off-Payroll working rules make sure that a worker (sometimes known as a contractor) pays broadly the same Income Tax and National Insurance as an employee would. The rules apply if the worker who provides services to a client through their own intermediary would have been an employee if they were providing their services directly to that client. The rules are sometimes known as ‘IR35'.

A worker affected by the rules may provide their services through:

  • a limited company, usually known as a personal service company (PSC)
  • a partnership
  • another individual

A PSC is not defined in law but typically is a limited company that a worker controls and has some interest in, through which the worker provides their services.

The off-payroll working rules apply on a contract-by-contract basis. A worker may have some contracts which are within the off-payroll working rules and some which are not. A contract for the purpose of the off-payroll working rules is a written, verbal, or implied agreement between parties.

Is Hubbado Payroll Limited an Umbrella company?

No, Hubbado Payroll Limited is not an Umbrella company. It provides payroll services for Off-Payroll Workers, including:

  1. Calculating your regular or irregular payslip under IR35;
  2. Paying Employees NI and PAYE on behalf of you;
  3. Submiting your earnings (FPS) to HMRC;
  4. Paying pension contributions under your instructions;
  5. Other taxation or accounting services on request

What is the difference between Hubbado Payroll Limited and an Umbrella company?

The differences are mainly around the definition of being an Off-Payroll Worker compared to being a formal employee of an Umbrella:

  1. Holidays - Holiday allowance is a legal obligation for an employee, in order to pay for that an Umbrella company will move some of the Basic Pay to Holiday Pay, to meet the legal requirement. But if you want to switch to another company, all your Basic Pay and Holiday Pay will be back-dated and recalculated on the basis of your actual working period. This often causes misunderstanding and confusion. But it is much simpler with the Hubbado Off-Payroll Worker service, a day worked is a day billed, a day not worked is not billed. And, a simpler procedure means less hassle and more clarity on your take home payment.
  2. Pension - An Umbrella company usually provides a limited shortlist of workplace pension schemes that you have to choose from, whereas Hubbado Payroll Limited can pay into a personal pension scheme of your choosing.
  3. Expenses - Being an employee of an Umbrella company you cannot usually claim personal expenses incurred such as home office costs, travel costs etc. But with the Hubbado Off-Payroll Worker service, you can claim work expenses directly in your annual Self-Assessment Tax return with HMRC, which is typically much broader for freelancers than for employees, and can include travel and home office expenses.
  4. Fees - An Umbrella company charges £75-£100 monthly, plus additional fees for every request, such as changing the amount of your pension contributions. The Hubbado Off-Payroll Worker service charges a fixed monthly service fee of just £50 and nothing more.
  5. Payments - Hubbado Payroll Limited can pay you directly as an individual, or if you use a Ltd company, for other streams of revenue, it could be beneficial that we pay into that. An Umbrella company can only pay to an individual.

How much does Hubbado Payroll Limited charge?

Hubbado Payroll Limited charges a fixed monthly fee of £50 for its payroll services, including: payslip issuing, NI & PAYE submitting and payment, FPS submitting, and pension contribution payment. We don't charge any extra fees if you need to make any changes for the aforementioned items.

I am going to apply for a mortgage, can Hubbado Payroll Limited provide the relevant information?

Yes, we can, and we have helped several Off-Payroll Workers get their mortgages. We provide the Assignment Agreements addressed to the Off-Payroll Workers which can prove that they have stable jobs and steady income, Contractor's Agreements and other written materials on requests.

If you can provide your payslip for the past 12 months to the mortgage provider they will not see any difference in earnings between a permanent employee and an Off-Payroll Worker.

What are the Payment Terms with Hubbado Payroll Limited?

Payment terms are dependent on your agreed Assignment, specifically each client will have different payment terms (weekly or monthly invoice frequency, and then usually between 14-45 days payment terms) – please check your assignment for payment terms.

What are the advantages of the Hubbado Off-Payroll Worker service?

Take home more, enjoy greater flexibility, no hidden charges, and it's easy to opt in and out.

Compared with Umbrella companies, Hubbado Payroll Limited has the following advantages:

1. Lower cost and higher take home pay

  • We charge a fixed monthly service fee of just £50
  • We don't need to pay an extra 0.5% for the Employer Apprenticeship Levy Charge, which means less ER NI and more take home amount.

2. It's easy to opt in and out

Our contract is short but clean, simple and easy to understand, without any hidden tricks or gibberish contents. When you decide to engage in a new Umbrella or service company, just let us know and we can close your Off-Payroll Worker service account immediately or on a date of your choosing. No retrospective calculation or settlement will be needed.

3. More transparency and no late payments

Umbrella companies regard you as an employee so they can automatically deduct pay for holidays and leave from your basic pay, and then pay it back to you after several months. As a Hubbado Off-Payroll Worker, you are not considered an employee of Hubbado Payroll Limited, so we will not deduct any holiday or leave payments from your basic pay. The PAYE and NI calculations are transparent, and easily verified - and you will be paid on time.

Do I need to submit self-assessment if I sign up to the Hubbado Off-Payroll Worker service?

No, you don't need to register for Self-Assessment if you work inside IR35 and go through Hubbado Payroll Limited. If you would like to claim work expenses such as home office, travel or subsistence expenses, then you will need to submit a self-assessment with HMRC. If you have other income which is outside IR35 and paid through your limited company or sole trader, you will still need to register and submit your self-assessment.

Hubbado Payroll Limited can also assist with submitting your Self-Assessment tax return on your behalf as an added service, for an additional fee.

Please contact us for more information

Can you pay my student loan on my behalf?

No, we cannot pay the student loan on your behalf, because you are not an employee of Hubaddo Off-Payroll. You can pay your student loan back via your self-assessment at the end of the year, or you can discuss your options with you loan institution.

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