Setting up a Contractor

This guide covers how to set up contractors. Our system can accommodate contractors who are on withholding tax (WT). We are not set up to handle fully self-employed contractors.

1. Add new employee and enter their basic details

Follow this link for how to set up an employee

2. Standard pay settings

  1. On the left-hand side of the standard pay tab, select WT as the tax code. If the employee has a special tax code (STC), you can select this from the drop-down menu below.
  2. The system will default to 20% tax. You can change this figure in the box.

3. Leave settings

  1. Select 'included in exisiting pay rates (don't pay)' for contractors with no leave entitlements.
  2. Select 'Yes' only if the pay rate entered in the standard pay settings is inclusive of any holiday entitlements. This will show the holiday pay amount in a separate line in the pay summary on the employee's timesheet/payslip.
    Select 'No' if the employee has no leave entitlements.