Locuming in the UK - Information, Employment Options And Tax Considerations
Working as a veterinary surgeon locum in the UK can be a rewarding and flexible career choice. Here are some of the benefits:
Flexibility: Locum work allows you to choose your own hours and locations, giving you greater control over your work-life balance.
Variety: You'll get to work in different practices and with different teams, gaining a wider range of experience.
Higher pay: Locum vets often earn more than their permanent counterparts.
Travel opportunities: If you're interested in traveling, locum work can take you to different parts of the UK or even abroad.
There are currently three employment status options available for vets working as locums in the UK, here are some of the important points and tax considerations to consider for each options :
Umbrella company :
This can be a good option for locum veterinary surgeons in the UK. An umbrella company essentially provides an accounting service which takes care of payroll, taxes, and National Insurance contributions, which can save you time and hassle. However, it's important to choose a reputable umbrella company that is registered with HMRC.
Here are some things to look for when choosing an umbrella company:
Reputation: Look for an umbrella company that has a good reputation and is registered with HMRC.
Fees: Make sure you understand the fees that the umbrella company charges. Some companies charge a percentage of your earnings, while others charge a flat fee.
Services: Make sure the umbrella company offers the services you need, such as payroll, tax, and National Insurance contributions.
Customer service: The umbrella company should have good customer service and be able to answer any questions you have.
Limited company :
Limited companies are a popular choice for veterinary surgeon locums in the UK. They offer several benefits, including:
Tax efficiency: Limited companies can be more tax-efficient than other employment structures, such as being self-employed.
Limited liability: Your personal assets are protected from the debts of the company.
Professional image: Operating as a limited company can give you a more professional image.
However, there are also some drawbacks to consider:
Administrative burden: Setting up and running a limited company can be more complex and time-consuming than other options.
Costs: There are costs associated with setting up and running a limited company, such as filing annual accounts and paying corporation tax.
Tax compliance: There are stricter tax compliance requirements for limited companies.
If you're considering setting up a limited company, it's important to get professional advice from an accountant or tax advisor. They can help you understand the pros and cons of this option and make sure that you're compliant with all the relevant tax rules.
Self-employed :
Being self-employed as a veterinary surgeon locum in the UK means you're responsible for your own taxes and National Insurance contributions. You'll also need to manage your own finances, including invoicing clients and paying your own expenses. You will also need to be compliant with the IR35 regulations.
Here are some things to consider:
Registering with the RCVS: You'll need to register with HMRC as self-employed. You can do this online or by calling the HMRC helpline.
Keeping records: It's important to keep accurate records of your income and expenses. This will help you when it comes time to file your tax return.
Paying taxes: You'll need to pay Income Tax and National Insurance contributions on your earnings. You'll also need to pay VAT if your turnover exceeds a certain amount.
Pensions: You'll need to make your own pension contributions.
Being self-employed can be a great way to be your own boss and have more control over your work-life balance. However, it's important to be aware of your responsibilities and to seek professional advice if you need help.
Choose Mat & Bow Veterinary Recruitment to help you in your career as a Vet locum.
We will not only help you find the ideal locum position from a choice of vet practices around the UK but also guide and support you through the whole process if requested by providing you with advice and detailed information on all the important aspects to consider when choosing to work as a locum vet in the UK.