Everything about marketing is always changing and growing, so getting used to new ways of doing things is just part of the job. What happens, though, when that change affects your bottom line?
IR35 is a change that could affect how freelancers and agents work with companies and how companies work with them. Freelancers are common in marketing, so how will the new rules affect the private marketers your business works with?
What are the new rules all about?
In a nutshell, the IR35 change will make it the company’s job, not the individual’s, to decide how a contractor should be taxed. This is meant to find out who really works as a freelancer and who is just an employee in disguise.
The changes have already been put into place in the public sector, with mixed results. There have been stories of hiring managers losing skilled contractors, and blanket assessments (where all workers are either considered inside or outside IR35) have caused some people to stop freelancing altogether.
What will happen to marketing because of the new IR35 rules?
There is a good chance that things will change in a big way.
In some parts of marketing, the desire has already shifted from contracting roles to internal jobs. But since freelance marketing jobs have been in high demand in the past few years, it seems unlikely that this will change all of a sudden.
Freelance marketers choose this path not just because they can make more money (though that is a factor), but also because it gives them more freedom. Putting taxes aside, a better mix between work and life is hard to beat.
Changes to IR35 laws will only affect businesses with 50 workers or more and a turnover of at least £10,2 million. This means that small businesses will not be affected.
Ian says, “Candidates who work for a medium or large company through GreenFire Recruiting will be processed as PAYE, so they can be sure they’re meeting all the requirements for contributions during their placements.”
How to take care of your outside marketers
If your business is not considered small, there are a few things you can do to make sure you are ready for April 6, when the new rules go into effect.
First, I have some good news. In the first year of the change, the government has promised to be “light-handed” with punishments. So, businesses that break the new IR35 rules by chance will get a grace period.
But that doesn’t mean you can just wait and see what happens. You need to look at each freelancer individually to decide what their position is. Make each choice on your own and fairly. And don’t give unfair, blanket grades that could lead to a lawsuit.
In our blog post, you can read about how GreenFire Recruiting is handling the changes to the IR35 law. Talk to one of our experts to find out how the changes will affect you or your business in more detail.
Everything about marketing is always changing and growing, so getting used to new ways of doing things is just part of the job. What happens, though, when that change affects your bottom line?
IR35 is a change that could affect how freelancers and agents work with companies and how companies work with them. Freelancers are common in marketing, so how will the new rules affect the private marketers your business works with?
What are the new rules all about?
In a nutshell, the IR35 change will make it the company’s job, not the individual’s, to decide how a contractor should be taxed. This is meant to find out who really works as a freelancer and who is just an employee in disguise.
The changes have already been put into place in the public sector, with mixed results. There have been stories of hiring managers losing skilled contractors, and blanket assessments (where all workers are either considered inside or outside IR35) have caused some people to stop freelancing altogether.
What will happen to marketing because of the new IR35 rules?
There is a good chance that things will change in a big way.
In some parts of marketing, the desire has already shifted from contracting roles to internal jobs. But since freelance marketing jobs have been in high demand in the past few years, it seems unlikely that this will change all of a sudden.
Freelance marketers choose this path not just because they can make more money (though that is a factor), but also because it gives them more freedom. Putting taxes aside, a better mix between work and life is hard to beat.
Changes to IR35 laws will only affect businesses with 50 workers or more and a turnover of at least £10,2 million. This means that small businesses will not be affected.
Ian says, “Candidates who work for a medium or large company through GreenFire Recruiting will be processed as PAYE, so they can be sure they’re meeting all the requirements for contributions during their placements.”
How to take care of your outside marketers
If your business is not considered small, there are a few things you can do to make sure you are ready for April 6, when the new rules go into effect.
First, I have some good news. In the first year of the change, the government has promised to be “light-handed” with punishments. So, businesses that break the new IR35 rules by chance will get a grace period.
But that doesn’t mean you can just wait and see what happens. You need to look at each freelancer individually to decide what their position is. Make each choice on your own and fairly. And don’t give unfair, blanket grades that could lead to a lawsuit.
In our blog post, you can read about how GreenFire Recruiting is handling the changes to the IR35 law. Talk to one of our experts to find out how the changes will affect you or your business in more detail.