At Hourglass Education we provide our temporary teachers with various payment options, to enable teachers to select the payment method which best suits their requirements.
The payroll process is activated on receipt of completed timesheets. This timesheet must be accurately completed, correctly dated and signed by the teacher.
The teacher must also obtain written authorisation from the school’s authorised signatory.
Timesheets can be sent to us by fax or scanned and emailed to us.
Many teachers now use their smart phones to take a clear image of the timesheet which they subsequently email to us.
When you are appointed to a teaching position, a personalised timesheet and guidance will be sent to you along with a list of payment options and a request that you select your preferred payment method.
Payment through an Umbrella Company
The majority of our teachers choose to be paid through an umbrella company; this allows teachers to take advantage of HMRC approved tax regulations enabling them to submit specific expenses which increases their tax allowance, thus maximising their net pay.
We provide teachers with a choice of approved umbrella companies which have been fully audited and comprehensively vetted to safeguard the teacher against future tax liability and protect the agency too.
Pay As You Earn
Some teachers elect to be paid on a PAYE basis. Our associated payroll company will calculate and deduct all statutory tax and NI contributions for the teacher. Expenses cannot be claimed if teachers choose to be paid PAYE.
A small number of teachers work through their own limited company. There are specific, complex requirements involved, including setting up a business bank account and arranging sufficient indemnity and a teacher must be able to demonstrate adherence to all criteria. There is an ongoing cost involved in starting a limited company; only teachers who are intending to be paid this way for a prolonged time should contemplate this option.
Self-employed or sole trader status
The law requires that ‘self-employment’, ie being a sole trader, is not permitted for agency workers; income tax and National Insurance Contributions (NICs) must be deducted at source. In addition to this, sole traders face virtually unlimited liability which means that their homes and other personal assets would be at risk if accused by litigious clients.