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Starting out contracting - there's always some added confusion!

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    Starting out contracting - there's always some added confusion!

    Hi everyone, I'm new to contracting (and this forum) after taking voluntary redundancy and as always the way for me, there is extra confusion to get my head round.

    The main question I have is in relation how to set up - go limited or through an umbrella. I realise there are many posts already in relation to this but my main concern is what is the best option considering that I am expecting a baby and will be due in November 2013.

    My master plan was to do contracting up to October and then be off on maternity leave from November for at least 9 months.

    Would it still be worthwhile to set up as a limited company now or should I use an umbrella company and then set up limited after I return from maternity leave?

    Any guidance would be much appreciated.

    #2
    Have a chat to a few Umbrellas to see what their policies are.

    Have a look around the forums using the term 'Maternity' or something like to see what other contractors have done. I believe there is one other pregnant (or did I miss the good news) poster on at the moment. There are also a lot of other posters that look pregnant but are infact just fat blokes who post in General.

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

    Ring a couple of accountants that post on these forums and ask them what they would suggest.

    Personally I would say you have a whole new way of working to get your head around, as well as deal with your pregnancy and birth etc I can't help thinking the simplest method i.e. brolly would be the one to try and ease your workload.

    Am sure this is going to sound highly sexist but isn't it going to be hard getting a contract when you are pregnant? You have no employment rights protecting you? Or is there still some legal precedent / total fear of saying no to a pregnant woman for fear of being sued that works to help you here?
    Last edited by northernladuk; 8 April 2013, 16:42.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

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      #3
      You have no legal duty to tell anyone you are pregnant at all.

      However it's a good idea to do so at 12 weeks unless you do a job where you need a health and safety assessment asap.

      So if you don't show and aren't having bad side-effects you can get a contract and not tell anyone.

      Once you tell someone you are pregnant you are protected by law whatever type of worker you are. So if the client then removes you for being pregnant you can sue them for discrimination due to pregnancy.

      There was a female contractor on here a few years ago who did just that. The client paid out the rest of her contract rather than go to court.

      Likewise clients cannot discriminate against contractors on sex, race, religious and other equality grounds openly.
      "You’re just a bad memory who doesn’t know when to go away" JR

      Comment


        #4
        Originally posted by SueEllen View Post
        Once you tell someone you are pregnant you are protected by law whatever type of worker you are. So if the client then removes you for being pregnant you can sue them for discrimination due to pregnancy.

        There was a female contractor on here a few years ago who did just that. The client paid out the rest of her contract rather than go to court.

        Likewise clients cannot discriminate against contractors on sex, race, religious and other equality grounds openly.
        Is this right? In a B2B contract for work? Can they just not pull MoO and not give you any work so effectively terminating the contract? They can terminate anytime they want without reason so how can you show discrimination? This must be a horrible minefield surely? Saying that I would guess most clients HR don't know how this works and just roll over as soon as the word 'pregnant' is mention for fear of being sued.
        'CUK forum personality of 2011 - Winner - Yes really!!!!

        Comment


          #5
          If you are planning on a period of time off for childcare, then - providing IR35 status is clear - your own company gives you a useful benefit of being able to spread income over tax years viz Higher Rate - quite a useful mitigation tool.

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