company director and JSA


W

Wibble

I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small problem, due
to the industy and the type of job I have to form a limited company. There
may be extenion at the end or there may not be.

If there isnt I will sign back on. Will the fact I will be a director of a
company cause problems on re-claiming JSA?
 
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D

Dave xxxxx

Wibble said:
I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small
problem, due to the industy and the type of job I have to form a
limited company. There may be extenion at the end or there may not
be.

If there isnt I will sign back on. Will the fact I will be a
director of a company cause problems on re-claiming JSA?
Could be a problem, as I think that as a director they might count you as
self employed.



Dave
 
F

Fred

Dave xxxxx said:
Could be a problem, as I think that as a director they might count you as
self employed.



Dave
That was my understanding where a director has control over the company's
destiny in the same way as if he was self employed.

Can he be the company secretary and get someone else to be the director?
 
I

Iain Archer

Wibble wrote on Tue, 19 Oct 2004
I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small problem, due
to the industy and the type of job I have to form a limited company. There
may be extenion at the end or there may not be.

If there isnt I will sign back on. Will the fact I will be a director of a
company cause problems on re-claiming JSA?
Why not find an umbrella company? They treat you as a
shareholder/employee, and enter into the contract, to provide your
services, themselves. Which means they do all the NI and tax too;
whereas if you incorporated, you'd have to do it.
 
A

A. Fraudster

Wibble said:
I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small problem, due
to the industy and the type of job I have to form a limited company. There
may be extenion at the end or there may not be.

If there isnt I will sign back on. Will the fact I will be a director of a
company cause problems on re-claiming JSA?
Once you register as a Ltd Co you will have to hire an accountant to submit
your accounts and do tax returns for the IR whether you work/earn or not,
they will want to see the company accounts, can you afford an accountant on
JSA?
 
K

Kevin

Iain Archer said:
Wibble wrote on Tue, 19 Oct 2004

Why not find an umbrella company? They treat you as a
shareholder/employee, and enter into the contract, to provide your
services, themselves. Which means they do all the NI and tax too;
whereas if you incorporated, you'd have to do it.
If this is through an agent then the agent should pay you as PAYE or
can you find another limited company that will invoice for you.
I have to say though that sounds very odd. A company is offering one
weeks temporary work and saying that you have to be limited. Why can
they not just pay you as a casual worker. You say type of industry and
type of job. I know of no industries that cannot pay somebody as a
casual worker unless they are trying someting on.
Kevin
 
C

Clive Martin

Wibble said:
I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small problem, due
to the industy and the type of job I have to form a limited company. There
may be extenion at the end or there may not be.

If there isnt I will sign back on. Will the fact I will be a director of a
company cause problems on re-claiming JSA?
Note that it is the fact that you are working for more than 16 hours a
week that disentitles you to JSA in the week that you are working,
rather than your level of earnings. However, your level of earnings is
relevant (at least for income-based JSA) as it is supposed to "last" for
a week from the day of the week when it was due to be paid. (I think I
have that right - Don? Mike?).

In the sort of case you are describing, a director of a limited company
is usually, although technically an office holder in the company, also
an employed earner. Your earnings are therefore no different from that
of any other employee, and their assessment for JSA purposes should not
be problematic. It is possible for an office-holding director to also
have a contract for service with the company and thus be a self-employed
earner. In that case you would have self-employed earnings to be
assessed, instead of, or as well as, employee earnings. Again, there
are clear procedures for this, although assessing self-employed earnings
over such a short period would be awkward.

I suspect the main problem that you would face would be with the
possible grief that a break in claim of one week only could cause, not
only to your receipt of JSA but also of any Housing or Council Tax
Benefit that you receive. There are others here more expert on the
practical administrative side who may comment on that.

Clive
 
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K

Kevin

A. Fraudster said:
Once you register as a Ltd Co you will have to hire an accountant to submit
your accounts and do tax returns for the IR whether you work/earn or not,
they will want to see the company accounts, can you afford an accountant on
JSA?
There is no requirement for an accountant to do annual accounts below
quite a high annual turnover so he would have to go some on just a
weeks money to exceed the limit. Several years ago it was £80K per
annum.
Kevin
 
M

Martin Davies

A. Fraudster said:
of
Once you register as a Ltd Co you will have to hire an accountant to submit
your accounts and do tax returns for the IR whether you work/earn or not,
they will want to see the company accounts, can you afford an accountant on
JSA?
LTD company accounts have to be in a particular format, somewhat more formal
than self employed accounts can be.
Needing an accountant - not for many companies. Might like one, yes. Might
even save some money using one.
But need? Not until turnover quite high.

Martin <><
 
A

A. Fraudster

Martin Davies said:
LTD company accounts have to be in a particular format, somewhat more formal
than self employed accounts can be.
Needing an accountant - not for many companies. Might like one, yes. Might
even save some money using one.
But need? Not until turnover quite high.
I am not 100% on this subject but at the last meeting I had with the IR, I
was told or at least I thought the IR bloke said that if I register as a Ltd
Co I would need the services of a certified accountant, I think maybe it was
said in the context of if I employ people, that might be it, as a sole
trader I do my own accounts which IMO are easy to do.
As to the format of Co accounts, I have seen a few, loads of letters
explaining various payments in favour of the Co but the layout of the
balance sheet is the same as I do it myself., total income, expenditure,
profit, so I dont imagine I can be that difficult to do Co accounts.
 
K

Kevin

A. Fraudster said:
I am not 100% on this subject but at the last meeting I had with the IR, I
was told or at least I thought the IR bloke said that if I register as a Ltd
Co I would need the services of a certified accountant, I think maybe it was
said in the context of if I employ people, that might be it, as a sole
trader I do my own accounts which IMO are easy to do.
As to the format of Co accounts, I have seen a few, loads of letters
explaining various payments in favour of the Co but the layout of the
balance sheet is the same as I do it myself., total income, expenditure,
profit, so I dont imagine I can be that difficult to do Co accounts.
A limited co. has to submit accounts but below a certain level you
could submit these yourself. Don't necessarily trust an account to
tell the truth, he wants the business. Having said that having the
services of an acountant has other benefits but strictly speaking they
are not essential for a small company, but check the cut-off.
 
W

Wibble

Wibble said:
I am currently claiming JSA.

I have been offered a 1 week tempory job. But there is a small problem, due
to the industy and the type of job I have to form a limited company. There
may be extenion at the end or there may not be.

If there isnt I will sign back on. Will the fact I will be a director of a
company cause problems on re-claiming JSA?
Many thanks everyone.
I've found an umbrella company to "employ" me.
 
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R

Russ

Kevin said:
A limited co. has to submit accounts but below a certain level you
could submit these yourself. Don't necessarily trust an account to
tell the truth, he wants the business. Having said that having the
services of an acountant has other benefits but strictly speaking they
are not essential for a small company, but check the cut-off.
£ 1 million per year turnover is the cut off
http://www.companieshouse.gov.uk/about/gbhtml/gba4.shtml

Anyone can prepare the accounts - you must have them audited above this
level - that requires the services of an suitably qualified accountant.

Russ
 

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