Danbro – Candidate FAQ’s
This guidance has been drafted by GEM Partnership as a means to answer a number of frequently answered questions. It does not constitute a contract, is not provided by Danbro and as such provides guidance only. For full details of this scheme please refer to your contract of employment with Danbro and the associated policies available on their website.
What is a Danbro umbrella company arrangement?
As a temporary worker, working through a recruitment agency, you pay tax as if you were an ordinary employee. As a temporary worker, working through Danbro, you are eligible to claim allowable expenses that are wholly, exclusively and necessarily incurred in the performance of your duties. Under tax legislation you will be permitted to offset these expenses against your gross income. These benefits can only be obtained where a contract of employment exists between the temporary worker and the payroll provider (hence the umbrella company description) and has a maximum duration of 24 months. The Danbro umbrella scheme is not suitable for temporary workers with an hourly rate of less than £8.50 / hour gross.
How and when will I get paid under the umbrella company?
Danbro payroll is run on a daily basis, and they have three main payment methods:
· Faster Pay - This is the standard payment method and is included in their margin. You will receive your money on the same day that they process your payment. Some banks do not accept Faster Pay however. Please visit the Danbro website for more details.
· BACS - This payment method ensures you receive your funds within 2-3 working days once it has been processed.
· CHAPS - A one-off, same day payment option. However this will incur a £20 bank charge.
NB: If your bank does not accept Faster Pay, Danbro will process your payment by BACS transfer unless you opt to use a CHAPS transfer.
How can I check that I have been paid correctly?
Each time you are paid, Danbro will send you a payslip via post or email which will detail your income, expenses and the appropriate deductions.
What expenses can I claim?
You can claim expenses that are wholly necessary and exclusively for the purpose of carrying out your contract e.g. business travel. Danbro have a comprehensive expense policy which is fully approved by HMRC. To view their full expense policy, please visit - http://www.danbro.co.uk/our_services/umbrella_company_service/expenses_policy
Do Danbro pay my expenses?
No. The amount of expenses you claim is deducted from your gross income, which reduces the taxable amount your salary is based upon. As a result you will benefit from a reduction in the amount of tax and National Insurance you pay. Your expenses are not paid in addition to your income. As such the pay slip is laid out differently than with a standard PAYE model.
How do you calculate holiday pay?
Holiday pay is based on 28 days per annum.
How do I claim for holiday or sickness?
You can't claim for either as their umbrella service does not withhold any of your money whilst you are working. As such you receive a proportion of your statutory holiday pay weekly, which you should arrange to put aside to cover you when you take a holiday and Danbro advise you of this amount weekly.
Contractors are entitled to Statutory Sick Pay (SSP). Please contact Danbro for details.
Do I need to arrange for any insurance cover in relation to my contract?
No. When you join the Danbro umbrella company, you will be covered by £10m Employers Liability, £5m Public Liability and up to £5m in Professional Indemnity Insurance. They can also provide personal accident insurance and death-in service cover upon request.
Do Danbro provide any other benefits to umbrella employees?
Yes. As an employee of Danbro you are eligible to join the Danbro group pension scheme and the Danbro childcare voucher scheme. Visit here for more details - http://www.danbro.co.uk/our_services/umbrella_company_service/benefits
Will you provide income confirmation to support credit/mortgage applications?
Danbro are more than happy to provide any references on request and provide this as part of their umbrella service at no extra charge.
To whom do I send my timesheets?
If you have registered with the Danbro Online Timesheet System (DOTS), you can submit your timesheets and expenses to them online. Alternatively, you can fax, post, email or text Danbro your timesheets and expenses. Please ensure you send the original timesheet weekly to your agency GEM.
When should you receive my timesheet?
The sooner you send your timesheet, the sooner you will be paid as Danbro invoice GEM immediately after receiving your timesheet. Please note, some agencies have strict deadlines for payment cycles, which you should ask your GEM consultant about directly.
What do I do when my contract/assignment ends?
The Danbro umbrella service has no termination deduction; Their margin is deducted only when they process your timesheet/expenses. As you will have signed an overarching employment contract, you may be working on a number of different assignments and will remain an employee during and in between these assignments, or alternatively Danbro can send you your P45 upon request.
What if I have any questions once I have commenced my contract?
Danbro pride themselves on excellent customer service and are always happy to deal with any queries you may have. You can contact their customer service team on 01253 600140 or by emailing
Can you help with my personal tax return?
Yes. Danbro would be happy to complete this for you, though there would be a small annual administration charge of £80 (plus VAT) in addition to their Umbrella margin, to cover administration costs.
What if my circumstances change, would I be better placed trading through a limited company?
As a firm of regulated accountants Danbro always provided the best advice tailored to your individual circumstances. If you feel that you may benefit from one of their other services, please contact them directly on 01253 600140 to get advice from one of their specialist consultants.
What do you charge for the umbrella company service?
Danbro charges are variable and available to see at: http://www.danbro.co.uk/our_services/umbrella_company_service/fee_chart
It is important to highlight that the costs associated with these charges are largely offset by the gains made in net take home pay provided regular expenses are processed. Charges as at the 1st June 2012 are as follows:
Umbrella Service / Margin(shown on pay slip) / Cost to you
(basic tax payer)** / Cost to you
(higher tax payer)**
Weekly / £28.00 / £15.18 / £12.38
Monthly / £74.67 / £40.47 / £33.00
Is there a set-up charge or any additional charges I should know about?
No. With the Danbro umbrella company option, they only deduct a margin as and when they process your timesheet. There are no extra deductions.
What do I do in the event of payroll queries?
Please contact Danbro directly in the first instance who will deal with any payroll related, tax, expenses and deductions questions; if your question has not been answered adequately please contact your consultant at GEM.
In the event of hours, overtime or holiday approval queries please contact your consultant at GEM.
Please only raise queries with the hiring client as a last resort.