Key Information Document for an Umbrella company

This is an example of a draft Key Information Document:

  1. Key Information Document – working through an Umbrella Company 

The actual final document will be provided once you have confirmed which Umbrella Company you want to be engaged through and you provide your details. 

This document sets out key information about your relationship with E-Resourcing Ltd and the intermediary or umbrella company you have chosen to be used in your engagement, including details about pay, holiday entitlement and other benefits. Further information can be found at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/836294/key-information-document-for-agency-workers-business-employer-guidance.pdf

Umbrella Company pay Information:

 E-Resourcing Ltd

Oaks House

12 - 22 West Street

Epsom, Surrey, KT18 7RG
You are being paid through an intermediary Umbrella Company: a third-party organisation that will calculate your tax and other deductions and then pay you for the work undertaken for the hirer. We still available to find you other assignments. The money earned on your assignment will be transferred to the umbrella company and they will make the appropriate deductions, including their fee and then pay you your agreed wages. All the deductions made which affect your wage are listed below. If you have any queries about these please contact us or your chosen Umbrella Company.

Your payslip will show you as an employee of the Umbrella Company listed below

General Information

Your name

Mr John Smith (Example)

Name of employment business

E-Resourcing Ltd

Name of intermediary or umbrella company

Umbrella Company - TBC

Your employer

Umbrella Company - TBC

Type of contract you will be engaged under

Umbrella Company Contract of Employment

Who will be responsible for paying you

Umbrella Company – TBC

How often the umbrella company and you will be paid

Monthly, unless you make specific arrangements with your chosen Umbrella Company and E-Resourcing Ltd

Any business connection between the intermediary or umbrella company, the employment business, and the person responsible for paying you

The Employment Business is E-Resourcing Ltd.

The Umbrella Company is independent to E-Resourcing Ltd.

A contract for services will be in place between the Umbrella Company and E-Resourcing Ltd

Expected or minimum gross rate of pay transferred to the intermediary or umbrella company from E-Resourcing Ltd.

£350 daily (exclusive of VAT)

Deductions from intermediary or umbrella income required by law

Employers National Insurance calculated at 13.8% of the gross pay  (above the secondary threshold of £169 per week).

The apprenticeship levy is calculated at 0.5% of your gross pay .

Any other deductions from umbrella income (to include amounts or how they are calculated)

The margin retained by the Umbrella is £123.50 per month

Minimum rate of pay to you

National Minimum Wage

Deductions from your wage required by law

Income tax calculated at 20%40%/45% above the personal allowance of £240 per week. Your personal allowance will reduce if your earnings will exceed £100,000 per year. Employees NI is calculated at 12% above the primary threshold of £183 up to the upper earnings limit of £962 per week, and 2% thereafter. Employees’ pension contribution calculated at 4% net (5% gross).

Any other deductions or costs taken from your wage (to include amounts or how they are calculated)

None, unless you agree

Any fees for goods or services

None, unless you agree

Holiday entitlement and pay

Your holiday entitlement per annum is: 28 days holiday, inclusive of Public Holidays. Your holiday pay is included in the rate that is paid monthly to the Umbrella by E-Resourcing Ltd.

Any opt out agreement under regulation 32 of the Conduct of Employment Agencies and Employment Businesses 2003 regulations:

You will be opting out of the Conduct of Employment Agencies and Employment Businesses regulations

Additional benefits

None, unless you agree


 Worked Example Pay

 

 

Intermediary or umbrella fees

Worker fees

Example gross rate of pay to intermediary or umbrella company from E-Resourcing:

£7,000.00 monthly (excluding VAT) based on working 20 days a month

 

Deductions from intermediary or umbrella income required by law:

£733.82 Employer's NI

£30.27 Apprenticeship Levy

£62.54 Employer Pension Contribution (AE)

 

Other deductions or costs taken from intermediary or umbrella income:

£123.50 Margin for the Umbrella Company

 

Example rate of pay to you:

 

 

£5,398.35 Monthly Basic Pay

£651.52 Monthly Holiday Pay

£6,049.87 Monthly Pay

Deductions from your pay required by law:

 

£1,377.98 Income tax

£442.66 Employees NI

£62.54 Employee Pension Contribution

Any other deductions or costs taken from your pay:

 

None

Any other fees for goods or services:

 

None

Example net take home pay:

 

 

£4,166.68 monthly

 

The Employment Agency Standards (EAS) Inspectorate is the government authority responsible for the enforcement of certain agency worker rights. You can raise a concern with them directly on 020 7215 5000 or through the ACAS helpline on 0300 123 1100, Monday to Friday, 8am to 6pm.