Parasol expenses cover sheet

[username1]

Hello!
Unfortunately I found this forum after I joined Parasol and started my assignment.
I took a read of my expenses sheet and I'm quite concerned about what they want me to sign.

I understand the above assets will remain the property of Parasol on approval of the related claim.
I further agree to pay a security deposit equivalent to 10% of the purchase price.
I understand that I am able to purchase the above assets from Parasol after a qualifying period.

After a few complications from their side I'd rather ask for advice before I sign anything.
Btw, is this a common practice among umbrella companies?
Can someone please advise?

Regards
u1

[jamesbrown]

Legally speaking, you will be an employee of the umbrella and they will own the equipment purchased on your behalf. I believe the typical scenario, in practice, is that you pay a small fee as a security deposit and can then purchase back the equipment for a depreciated value (equal to the security deposit) upon leaving the umbrella if you so wish.

It sounds like you may need to do a little more reading about this structure in order to avoid being surprised by other aspects (such as the "employer costs" you will be charged as part of the umbrella fee).

[northernladuk]

Maybe scanning the Umbrella forum will uncover some of these surprises....

[captainham]

Useful guide to searching forum via Google is here:

http://forums.contractoruk.com/welco...uk-forums.html

[Wary]

Here's a couple of Parasol threads to be getting on with ... and there are more:

http://forums.contractoruk.com/umbre...ent-costs.html
http://forums.contractoruk.com/umbre...-umbrella.html

[Optionis Mike]

Hello u1.

I work at Parasol head office, and would like to reassure you that the arrangement you have described above is an effective and legitimate way for us to ensure you have the right tools (eg electronic equipment) at your disposal to work on your assignment as a Parasol employee.

As we’ve some 8,000 employees across the UK, it’s somewhat impractical for us to spec out, buy and then ship out any number of electronic devices on a daily basis.

The most sensible option for all concerned, therefore, is for employees to spec out an item, pay for it out of their own pocket and have the cost reimbursed through Parasol. The item remains the property of Parasol for the duration of your employment, so a security deposit is retained out of net pay. This can be refunded to you at the point you leave Parasol, should you wish to return the item to us in a usable condition.

Should you wish to retain the item, the security deposit will cover the residual value.

Please call our employee support team on 0844 875 0079 if you would like to discuss this matter in more detail, or require further clarification.

Thanks.

[simondolan]

So what you are saying is that the "employee" has to buy their computer equip out of their own earnings, then give Parasol a deposit as well. When they leave Parasol they have to either give the equip back, or buy it back from you!!

Hello u1.

I work at Parasol head office, and would like to reassure you that the arrangement you have described above is an effective and legitimate way for us to ensure you have the right tools (eg electronic equipment) at your disposal to work on your assignment as a Parasol employee.

As we’ve some 8,000 employees across the UK, it’s somewhat impractical for us to spec out, buy and then ship out any number of electronic devices on a daily basis.

The most sensible option for all concerned, therefore, is for employees to spec out an item, pay for it out of their own pocket and have the cost reimbursed through Parasol. The item remains the property of Parasol for the duration of your employment, so a security deposit is retained out of net pay. This can be refunded to you at the point you leave Parasol, should you wish to return the item to us in a usable condition.

Should you wish to retain the item, the security deposit will cover the residual value.

Please call our employee support team on 0844 875 0079 if you would like to discuss this matter in more detail, or require further clarification.

Thanks.

[pmeswani]

Re: Parasol expenses cover sheet

So what you are saying is that the "employee" has to buy their computer equip out of their own earnings, then give Parasol a deposit as well. When they leave Parasol they have to either give the equip back, or buy it back from you!!

I am guessing the contractor expenses the computer, and rather the whole amount being reimbursed, 90% is reimbursed, and the remaining 10% is returned when the computer is returned... but I do see your point. The computer should be the contractors, unless the umbrella co is going to buy it from the contractor.

[LisaContractorUmbrella]

I am sure I must be reading this wrong - it sounds as though the the contractor buys the equipment and is reimbursed 90% of the value but loses the other 10% unless they give whatever it is to the umbrella company to keep

[Optionis Mike]

As a founding member of the FCSA, and having been audited by both Ernst & Young and HMRC, we are keen to ensure that we follow legislation to the letter and enable our employees to claim for all their incurred legitimate business expenses through the most compliant means possible.

We are pleased to be able to offer our employees the facility of claiming legitimate electronic equipment purchases as business expenses – particularly as some other umbrellas don’t offer this facility.