
121 Payroll -
Contractor Payroll Services
We specialise in a variety of contractor payroll services to effectively engage your temporary workforce and contractors while ensuring compliance with HMRC and government regulations. See the options below:
Umbrella PAYE

An umbrella company assumes employment responsibilities for individuals who rely on agencies to secure temporary assignments and guarantees the provision of all workers' entitlements in compliance with existing laws and regulations. Our contractor payroll services simplify the process and reduce the administrative burden for both employers and workers.
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121 Payroll offers a comprehensive solution to alleviate administrative responsibilities and mitigate the risks involved in directly employing temporary workers through our fully compliant contractor payroll services.
Benefits to you
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Less Admin
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Less Costs
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Expert Advice
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Compliance
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Reduced Contractural risks associated with Contractor engagement.
Benefits to the Sub-contractor​
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Continuity (One employer over several assignments)
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Online Service & Portal Access for Contracts, Self bill Invoices, & remittances
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Benefits / Holiday
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Insurance (Covered by 121's insurance)
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Text updates regarding upcoming payments
Contractor CIS Payroll Service

The Construction Industry Scheme (CIS) encompasses a series of regulations/ rules that are relevant to Contractors and Sub-contractors engaged in construction work. It is mandatory for all contractors to enrol in the scheme with HMRC and have tax deductions withheld from their payments. The level of deductions will be determined by HMRC and fall into one of three categories.​
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1. Higher or Unknown - 30% Deduction
2. Net or Standard - 20% Deduction
3. Gross Status - 0% Deduction
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121 Payroll handles all the administrative tasks and complexities involved in engaging CIS sub-contractors. We conduct thorough self-employed and Supervision, Direction, and Control (SDC) tests to ensure compliance with the scheme and proper payment of taxes to HMRC. The sub-contractor must complete a self-assessment at the end of the tax year and may be entitled to a CIS tax rebate (after deduction of expenses) if too much tax has already been paid.
Benefits to you
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Less Admin
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Compliance & SDC checks
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UTR verification and checks with HMRC.
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All taxes paid direct to HMRC
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Reduced Contractural risks associated with Contractor engagement.
Benefits to the Sub-contractor​
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Less Admin
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Online Service & Portal Access for Contracts, Self bill Invoices & remittances
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Self Bill Invoicing
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Text updates regarding upcoming payments
Self Employed Sub-contractor

There are multiple elements that establish self-employment status in contrast to 'employment', which revolve around the contractor operating their own business, possessing autonomy in their work methods, assuming financial risks, and considering various other factors that contribute to determining their status.
121 Payroll specialises in contractor payroll services and will handle all the administrative tasks and complexities involved in engaging CIS sub-contractors. We conduct thorough self-employed and Supervision, Direction and Control (SDC) tests to ensure compliance with the scheme and proper payment of taxes to HMRC.
Benefits to you
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Less Admin
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Compliance & SDC checks
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UTR verification and checks with HMRC.
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All taxes paid direct to HMRC
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Reduced Contractural risks associated with Contractor engagement.
Benefits to the Sub-contractor​
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Less Admin
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Online Service & Portal Access for Contracts, Self bill Invoices & remittances
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Self Bill Invoicing
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Text updates regarding upcoming payments
Limited Company

IR35 is legislation designed to identify and eliminate contractors who operate as a Limited company (and benefit from tax advantages) but should actually be considered as ‘Employees’ of the end hirer. The IR35 assessment evaluates various factors to determine whether the contractor is working ‘inside’ or ‘outside’ the regulations for each assignment, and whether the income from that assignment should be subject to PAYE taxes or not.
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121 Payroll is capable of handling all the administrative tasks and difficulties involved in directly engaging Ltd sub-contractors. This includes conducting all necessary checks, including IR35. We guarantee compliance with the CIS scheme (if applicable) and ensure that the appropriate taxes are paid to HMRC through our contractor payroll services.
Benefits to you
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Less Admin
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Compliance & SDC/IR35 checks
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UTR verification and checks with HMRC.
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All taxes paid direct to HMRC
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Reduced Contractural risks associated with Contractor engagement.
Benefits to the Sub-contractor​
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Less Admin
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Online Service & Portal Access for Contracts, Self bill Invoices & remittances
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Self Bill Invoicing
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Tax assistance
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Text updates regarding upcoming payments
