Jeff White

3 𝐑𝐞𝐚𝐬𝐨𝐧𝐬 𝐲𝐨𝐮𝐫 𝐂𝐨𝐦𝐩𝐚𝐧𝐲 𝐡𝐚𝐬 𝐧𝐨𝐭 𝐲𝐞𝐭 𝐬𝐨𝐥𝐯𝐞𝐝 𝐈𝐑35 Let me preface this by saying that, in my observations, very few companies have grasped IR35 or understand how to. In simple terms, if you haven’t got at least 60 % of your contingent workforce engaged outside IR35, you’re missing a trick, and it's an expensive one. Witht the recent huge offset news, every UK company will need to give IR35 a major focus in the coming months. 1) 𝐘𝐨𝐮 𝐝𝐨𝐧’𝐭 𝐫𝐞𝐚𝐥𝐢𝐬𝐞 𝐈𝐑35 𝐢𝐬 𝐬𝐨𝐥𝐯𝐚𝐛𝐥𝐞, 𝐨𝐫 𝐭𝐡𝐞 𝐨𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐲 𝐲𝐨𝐮’𝐫𝐞 𝐦𝐢𝐬𝐬𝐢𝐧𝐠. It’s not big, nor scary. IR35 is just misunderstood. It’s a specialist subject, so engage specialists. Take advice. On average the cost uplift of engaging inside IR35 is 25%, if you’re even lucky enough to find good contractors willing to do so. There is plenty of motivation to solve IR35. The majority of your contingent workforce should be outside IR35, you just need to learn how to adapt correctly, structure contracts, and maintain compliance. 2) 𝐓𝐡𝐞 𝐌𝐒𝐏’𝐬 & 𝐑𝐞𝐜𝐫𝐮𝐢𝐭𝐞𝐫𝐬 𝐜𝐚𝐧’𝐭 𝐬𝐨𝐥𝐯𝐞 𝐢𝐭 In my experience, most MSP’s and Recruiters haven’t the depth of knowledge to help solve IR35 for their clients. It goes beyond this, the cynical view is that there is motivation for MSP’s and Recruiters to NOT solve IR35 for their clients. Simply put, they make more margin on inside IR35 engagements, the day rate is uplifted and the employers’ taxes are often applied to the final figure the mark up is measured against. Also, the MSP or Recruiter becomes the ‘Fee Payer’ for outside IR35 engagements, absorbing the risk from the client, something often not volunteered. Lastly, there is the MSC legislation. It’s quite dangerous for an MSP or Recruiter to become too involved in trying to solve IR35 for their clients, due to their presence in the contract supply chain. The MSC legislation can open up liabilities for doing so. 3) 𝐀 𝐥𝐚𝐜𝐤 𝐨𝐟 𝐥𝐞𝐠𝐚𝐥 𝐤𝐧𝐨𝐰𝐥𝐞𝐝𝐠𝐞 𝐢𝐧 𝐭𝐡𝐞 𝐢𝐧𝐝𝐮𝐬𝐭𝐫𝐲 This has been an issue, and is not the fault of any company. IR35 is ultimately a piece of Law, you need to understand the historical case law to better understand how to apply it. The reality is that there are very few Legal professionals with the depth of IR35 knowledge to advise companies. They’ve had to fend for themselves. Martyn Valentine is definitely worth connecting with. There is seismic change coming on IR35 later this year that will require companies to adapt and rethink their policy decision. If they don’t, they’ll get left behind. It’s going to reduce the risk and open the market to outside engagements. I help Procurement & HR teams solve their IR35 headaches, delivering significant bottom line cost savings. Reach out to me at [email protected] and we can discuss further. Best Mark

3 𝐑𝐞𝐚𝐬𝐨𝐧𝐬 𝐲𝐨𝐮𝐫 𝐂𝐨𝐦𝐩𝐚𝐧𝐲 𝐡𝐚𝐬 𝐧𝐨𝐭 𝐲𝐞𝐭 𝐬𝐨𝐥𝐯𝐞𝐝 𝐈𝐑35 Let me preface this by saying that, in my observations, very few companies have grasped IR35 or understand how to. In simple terms, if you haven’t got at least 60 % of your contingent workforce engaged outside IR35, you’re missing a trick, and it's an expensive one. Witht the recent huge offset news, every UK company will need to give IR35 a major focus in the coming months. 1) 𝐘𝐨𝐮 𝐝𝐨𝐧’𝐭 𝐫𝐞𝐚𝐥𝐢𝐬𝐞 𝐈𝐑35 𝐢𝐬 𝐬𝐨𝐥𝐯𝐚𝐛𝐥𝐞, 𝐨𝐫 𝐭𝐡𝐞 𝐨𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐲 𝐲𝐨𝐮’𝐫𝐞 𝐦𝐢𝐬𝐬𝐢𝐧𝐠. It’s not big, nor scary. IR35 is just misunderstood. It’s a specialist subject, so engage specialists. Take advice. On average the cost uplift of engaging inside IR35 is 25%, if you’re even lucky enough to find good contractors willing to do so. There is plenty of motivation to solve IR35. The majority of your contingent workforce should be outside IR35, you just need to learn how to adapt correctly, structure contracts, and maintain compliance. 2) 𝐓𝐡𝐞 𝐌𝐒𝐏’𝐬 & 𝐑𝐞𝐜𝐫𝐮𝐢𝐭𝐞𝐫𝐬 𝐜𝐚𝐧’𝐭 𝐬𝐨𝐥𝐯𝐞 𝐢𝐭 In my experience, most MSP’s and Recruiters haven’t the depth of knowledge to help solve IR35 for their clients. It goes beyond this, the cynical view is that there is motivation for MSP’s and Recruiters to NOT solve IR35 for their clients. Simply put, they make more margin on inside IR35 engagements, the day rate is uplifted and the employers’ taxes are often applied to the final figure the mark up is measured against. Also, the MSP or Recruiter becomes the ‘Fee Payer’ for outside IR35 engagements, absorbing the risk from the client, something often not volunteered. Lastly, there is the MSC legislation. It’s quite dangerous for an MSP or Recruiter to become too involved in trying to solve IR35 for their clients, due to their presence in the contract supply chain. The MSC legislation can open up liabilities for doing so. 3) 𝐀 𝐥𝐚𝐜𝐤 𝐨𝐟 𝐥𝐞𝐠𝐚𝐥 𝐤𝐧𝐨𝐰𝐥𝐞𝐝𝐠𝐞 𝐢𝐧 𝐭𝐡𝐞 𝐢𝐧𝐝𝐮𝐬𝐭𝐫𝐲 This has been an issue, and is not the fault of any company. IR35 is ultimately a piece of Law, you need to understand the historical case law to better understand how to apply it. The reality is that there are very few Legal professionals with the depth of IR35 knowledge to advise companies. They’ve had to fend for themselves. Martyn Valentine is definitely worth connecting with. There is seismic change coming on IR35 later this year that will require companies to adapt and rethink their policy decision. If they don’t, they’ll get left behind. It’s going to reduce the risk and open the market to outside engagements. I help Procurement & HR teams solve their IR35 headaches, delivering significant bottom line cost savings. Reach out to me at [email protected] and we can discuss further. Best Mark

3 𝐑𝐞𝐚𝐬𝐨𝐧𝐬 𝐲𝐨𝐮𝐫 𝐂𝐨𝐦𝐩𝐚𝐧𝐲 𝐡𝐚𝐬 𝐧𝐨𝐭 𝐲𝐞𝐭 𝐬𝐨𝐥𝐯𝐞𝐝 𝐈𝐑35 Let me preface this by saying that, in my observations, very few companies have grasped IR35 or understand how to. In simple terms, if you haven’t got at least 60 % of your contingent workforce engaged outside IR35, you’re missing a trick, and it's an expensive one. Witht the recent huge offset news, every UK company will need to give IR35 a major focus in the coming months. 1) 𝐘𝐨𝐮 𝐝𝐨𝐧’𝐭 𝐫𝐞𝐚𝐥𝐢𝐬𝐞 𝐈𝐑35 𝐢𝐬 𝐬𝐨𝐥𝐯𝐚𝐛𝐥𝐞, 𝐨𝐫 𝐭𝐡𝐞 𝐨𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐲 𝐲𝐨𝐮’𝐫𝐞 𝐦𝐢𝐬𝐬𝐢𝐧𝐠. It’s not big, nor scary. IR35 is just misunderstood. It’s a specialist subject, so engage specialists. Take advice. On average the cost uplift of engaging inside IR35 is 25%, if you’re even lucky enough to find good contractors willing to do so. There is plenty of motivation to solve IR35. The majority of your contingent workforce should be outside IR35, you just need to learn how to adapt correctly, structure contracts, and maintain compliance. 2) 𝐓𝐡𝐞 𝐌𝐒𝐏’𝐬 & 𝐑𝐞𝐜𝐫𝐮𝐢𝐭𝐞𝐫𝐬 𝐜𝐚𝐧’𝐭 𝐬𝐨𝐥𝐯𝐞 𝐢𝐭 In my experience, most MSP’s and Recruiters haven’t the depth of knowledge to help solve IR35 for their clients. It goes beyond this, the cynical view is that there is motivation for MSP’s and Recruiters to NOT solve IR35 for their clients. Simply put, they make more margin on inside IR35 engagements, the day rate is uplifted and the employers’ taxes are often applied to the final figure the mark up is measured against. Also, the MSP or Recruiter becomes the ‘Fee Payer’ for outside IR35 engagements, absorbing the risk from the client, something often not volunteered. Lastly, there is the MSC legislation. It’s quite dangerous for an MSP or Recruiter to become too involved in trying to solve IR35 for their clients, due to their presence in the contract supply chain. The MSC legislation can open up liabilities for doing so. 3) 𝐀 𝐥𝐚𝐜𝐤 𝐨𝐟 𝐥𝐞𝐠𝐚𝐥 𝐤𝐧𝐨𝐰𝐥𝐞𝐝𝐠𝐞 𝐢𝐧 𝐭𝐡𝐞 𝐢𝐧𝐝𝐮𝐬𝐭𝐫𝐲 This has been an issue, and is not the fault of any company. IR35 is ultimately a piece of Law, you need to understand the historical case law to better understand how to apply it. The reality is that there are very few Legal professionals with the depth of IR35 knowledge to advise companies. They’ve had to fend for themselves. Martyn Valentine is definitely worth connecting with. There is seismic change coming on IR35 later this year that will require companies to adapt and rethink their policy decision. If they don’t, they’ll get left behind. It’s going to reduce the risk and open the market to outside engagements. I help Procurement & HR teams solve their IR35 headaches, delivering significant bottom line cost savings. Reach out to me at [email protected] and we can discuss further. Best Mark