I am a company director. Am I an “employee” or a “worker”?
Company directors and company secretaries are “office holders”, not “employees” or “workers”.
However, if, in addition to being an office holder, you have a contract of employment with your company that spells out the terms of your employment, you are also both an employee and a worker and, as a result, entitled to all of the associated rights and benefits of employment.
For payroll purposes, the tax legislation requires office holders to be treated as if they were employees. As a result, you have to pay tax and employee National Insurance contributions (NICs) through the payroll, just as for employees, and the company also pays employer NICs on your earnings.
More FAQs Related to Employment Status – Employed or Self-employed?
What is the difference between a “contract of service” and a “contract for services”?
Who are “employees” for payroll purposes?
I am self-employed. Am I entitled to holiday pay or any other benefits from my client?
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I am self-employed. Why does my client insist on putting me on the payroll?
My company is a managed service company. Am I an “employee” or a “worker”?
I am subject to IR35 rules. Am I an “employee” or a “worker”?