Why use an Umbrella Company if you are a contract worker?

[TarponLtd]

Hi there, if you contract using an Umbrella Company you will have to pay employee's and employer's nic. This is why you get a higher rate as a contractor to compensate for this, however, as a contractor you are entitled to offset genuine business expenses against your income tax & nic which should make you better off!

If your still unsure one of our tax advisors can talk you through the details, if you call 0845 643 1580 and press option 1.

I hope this helps!

[meteorgroup]

Now..i am advised to use umbrella company but when i do calcualtions..i am told there are 2 NIC to be paid?????

what is that and can i avoid it?