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cXc

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  • 27-04-2006 10:21am
    #1
    NaasMan
    Closed Accounts Posts: 24 ✭


    Has anyone ever heard anything amount this company ? They seems to be offering a service whereby for a fee of 5% of your previous self employed income they will take you on as an employee, deal with all of the administration of running a company on your behalf, and pay you salary/expenses equal to 95% of the income which you bring in?


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    #2
    ianmc38
    Registered Users Posts: 7,754 ✭✭✭ianmc38


    Yes i'm an IT contractor and on paper I work as a director of a CXC umbrella company.

    The service they provide is aimed at people who want to work as limited contractors. Rather than you setup your own ltd company, they simply appoint you as a director of one of theirs.

    They take 5% of your gross salary and do all admin work for the company, as well as accounts, expenses, yearly returns etc etc. They also do all the admin work in setting up the company.

    If you've any more questions let me know. i've been with them about a year now.


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    #3
    MrPudding
    Registered Users Posts: 9,788 ✭✭✭MrPudding


    Why a percentage? If you do some overtime or oncall work you will earn more money. They don't have any extra work so why should they charge you more?

    I prefer a fixed rate service myself.

    Oh, also, you do realise you will be taxed on the 95% you don't get that into your hand?

    MrP


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    #4
    ianmc38
    Registered Users Posts: 7,754 ✭✭✭ianmc38


    You don't pay any of your previous income to them AFAIK.

    You also pay 1% less PRSI as a director of one of their companies. All your "business expenses" are tax deductible. Even though I'm in the highest tax band, I pay less tax than many PAYE workers in the lower tax bands.

    They take 5% of the money you earn wherever you're contracting. Usually they invoice a recruitment company on your behalf. It goes employer -> recruitment company -> CXC


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    #5
    antoinolachtnai
    Registered Users Posts: 9,787 ✭✭✭antoinolachtnai


    Who else is a director of this company? That's the part i would worry about. How often do you meet them?

    If you are doing more than 30k/year, surely you'd be better to incorporate and pay an accountant?

    a.


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    #6
    fintan
    Closed Accounts Posts: 647 ✭✭✭fintan


    Setting up a limited company costs less than €500 (once off)
    Accountant + returns costs approx 1,000 to 1,500 ( less if you shop around and keep good records).

    So as Antoinolachtnai pointed out earn anything over 30k and its actually costing you money.


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    #7
    MrPudding
    Registered Users Posts: 9,788 ✭✭✭MrPudding


    I might also have the whole thing wrong but as a director of a company do you knwo have to sign off on the compony accounts? I doubt they will show the financial records for the other directors. Would this not mena you would have to sign off on accounts you may not have seen?

    MrP


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