New year, further success. Building on our first 15 years.

In August, we celebrated the 15 year anniversary of the launch of Recruit 121.

Now, in our 15th year we are building on our success with the appointment of five new employees, the launch of two new divisions and a move to our new offices in Capital Tower, Cardiff.

The recent growth within the Cardiff office responds to an increasing demand for SAP (systems, applications and products in data processing) recruitment services and the introduction of a dedicated recruitment service for finance roles, showing a commitment to expanding the expertise of Recruit 121 to become a trusted brand in the wider recruitment sector.

Recruit 121’s new faces:

Our new recruits are Emma Peterson, Darren Wilcox, Connor Wall, Guy Guest and Abby Hughes. Emma, 40, from Cardiff, is heading up our new accounting and finance division.

Emma said: “I’m really pleased to be taking on the exciting challenge of launching a brand new division for Recruit 121. The company has an excellent reputation and is recognised internationally as a market leader in the area of SAP recruitment.

“My aim is to establish the Recruit 121 brand in the financial recruitment sector and build a strong team, which focuses on sector knowledge and excellent client relationships.”

New office toast

Recruit 121’s new offices:

We are delighted to have moved into our new offices on the 14th floor of Cardiff’s iconic Capital Tower. The new offices will provide us with much-needed space for the growing team and new furniture and technology, including two 65-inch screens for video conferencing.

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Our managing director, Che Hookings, said: “We have seen Recruit 121 develop significantly over the past 15 years and our Cardiff team is now proud to be a globally-recognised source of expertise in SAP recruitment.

“We have placed thousands of candidates for more than 500 SAP customers around the world and we continue to expand our client base.

“While SAP might not be familiar to many, it has been estimated that US$600bn are transacted on the SAP network annually, which is 50% more than Amazon, Alibaba and eBay combined.

“Our turnover for the Cardiff office last year was £10.2m, which represented a 5% increase on the previous year.

“We see an opportunity to capitalise on the knowledge and reputation we have built-up, over the past 15 years, and take Recruit 121 to the next level.

“We are confident that we can successfully expand our business model. The introduction of new areas of specialist recruitment, the new office and the latest additions to the team will be instrumental in helping us to achieve that. We are all looking ahead to the next 15 years and to what we can achieve.”

 

Compliance by Country: The UK

Through our monthly ‘Compliance by Country’ series we aim of provide information that candidates need to consider in order to ensure that they fully comply with the rules/requirements of working in different countries.

We recently gave advice for compliance in Switzerland and The Netherlands.

For the third post of the series, Smriti Malik BCom MBA, Senior Manager at Access Tax & Accounting Limited provides answers to frequently asked questions for contractors working in the UK.

What are the residency rules/requirements in the United Kingdom where the contract will take place and how does one go about registering if required to do so? 

There are no individual registrations required upon arrival in the UK.

A UK National will have an existing NI number which will be used for paying National Insurance contributions in the UK and a UTR number for settlement of income tax.

A non UK National will need to apply for a NI number at the Job Centre and a UTR (Unique Tax Reference Number) which will be required in all tax related matters. Both the registrations involve filling in forms and sending them to the HMRC. Registration numbers are then received by post.
Do I need to move from a Limited Company to an umbrella company? 

Not necessarily. It is possible to work in the UK through your Limited Company.

If you have a UK Limited Company, it will be your employer in the UK that is liable for corporation tax and VAT. If you have a foreign Limited Company, you need to get it registered as a foreign employer in the UK without tax liability. Further your employer will also be liable for PAYE and employer’s NI contribution in the UK. If the contractor chooses to take dividends from his Limited Company in the UK, these dividends will be subject to dividend tax, taxable in the hands of the contractor.

You can choose to work through a Limited Company or under an umbrella, as both are recognised as legal structures in the UK. Umbrella will give you lesser administration burden but a Limited Company can give you higher net take home.


What are the income tax and social security rates in the UK? 

Resident individuals are liable to pay tax on their worldwide income in the UK.

Income tax is charged at a progressive rate from 20% on earnings up to GBP 31,785 to 45% on earnings over GBP 150,000.

Social security is obligatory for all employed contractors working in the UK. Employees pay Class 1 NI. The contribution is 12% for income greater than GBP 155 per week up to GBP 815 per week and 2% over GBP 815 per week.

Employers pay 13.8% NIC on weekly earnings over GBP 156.
Are you able to give an indication of the legitimate tax allowances available to expatriates? 

There are no special expatriate tax rulings in the UK. However the UK offers tax free personal allowances of GBP 10,600 to non – UK nationals who are tax residents.
Do I need a VISA to work in the UK?

All EEA (EU and EFTA) and Swiss nationals can enter and work in the UK without needing to apply for a Visa, but if you are a national of Croatia, you need to apply for permission before you start work.
Should I keep my company registered in my home country? What are the pros and cons of this?

You should keep your company registered if you plan to use it for your next assignment or in future.

The benefit of keeping your current company active can be to facilitate its use for your future assignments rather than incurring costs by closing the current company and incorporate a new one for future use.

The negative of keeping a company can be maintaining its dormant status (inactive but alive), complying with a few legal formalities like filing dormant accounts every year.

A cost analysis should be done comparing the costs involved in closing down the company and keeping a dormant company.

For more information on freelance and permanent SAP jobs from Recruit 121, call us on +44 02920 496121 or email us at: info@recruit121.com

Recruit 121 Limited and Access Tax & Accounting Limited are unrelated companies, other payroll solution providers are available and contractors should take independent advice so that their individual circumstances are properly considered.

EDITOR: Ian Zagrecki BA MA

AF

Compliance by Country: The Netherlands

At Recruit 121 Limited we pride ourselves on connecting the world’s best-run businesses, with the very best talent. In doing so, we have provided thousands of candidates to more than 500 SAP customers around the globe.

When placing candidates in different countries, we work closely with contract management specialists to ensure that candidates fully comply, not only with the stipulations of the job they are working on, but also with the regulations of the country that they are placed in.

Here, Naveen Joshi, B.Com, GMS, EPGDIBS, Head of Research & Development at contract management and talent mobility specialists Access Financial, provides answers to frequently asked questions for contractors working in the Netherlands.


For a contract where a consultant will be working in The Netherlands, what are the residency rules/requirements and how does one go about registering in the country if required to do so?

It is mandatory for everyone to register in person with the municipality where he/she will reside, within 5 days of arrival, if he/she intends to stay in the Netherlands for 4 months or more.

Partners and children travelling with the contractor must also be registered in person.

Upon registration with the municipality, the contractor will receive a provisional certificate of registration. Thereafter, the contractor has to report to the Immigration and Naturalisation Service (IND) to apply for a residence permit. Once, IND has accepted the application, they will inform the municipality, who will then issue the BSN (burger service number or citizen service number) and send it to the registered address.

Do I need to move from a Limited Company to an umbrella company? 

It is possible, in the Netherlands, to work through your own foreign Limited Company (Personal Service Company). However, before starting your business activities you have to register your foreign PSC with the Dutch Chamber of Commerce and also have to apply for a VAR (Verklaring arbeidsrelatie). There are four types of VAR and the relationship between you and your agency/client will determine which VAR you will receive. If you are considered as a deemed employee, the agency/client hiring you will be responsible for paying income tax and social security contributions on your behalf. Also, the staffing agency or umbrella company who has hired you must also be registered with the Dutch Chamber of Commerce and should be compliant under the WAADI Act. As a deemed employee, all of your income will be considered as wages and subject to Dutch income tax and social security.

Hence, it is recommended to move to an umbrella company that is registered with the Dutch Chamber of Commerce and compliant under the WAADI Act.


What are the income tax and social security rates in The Netherlands? 

In the Netherlands, social security contributions (national insurance) are paid together with the income tax and included in the first two income tax brackets. Income tax is charged at a progressive rate from 36.5% to 52%, including national insurance contribution of 28.15% (for 2015). In addition, the employer is required to pay contributions under unemployment insurance, occupational disability insurance, sectoral contributions, child care contributions and health insurance. All social security contributions paid by the employer are calculated on the maximum contribution base of €4,331.33 per month. For an employee earning a monthly wage of €4,331.33 or more, the maximum social security contribution paid by the employer is approximately €750 per month per employee.
Are you able to give an indication of the legitimate tax allowances available to expatriates? 

High skilled migrants coming to work in the Netherlands can take advantage of the 30% ruling, if certain conditions are met. Under the 30% Ruling, the employer can grant a tax free allowance equivalent to 30% of the total salary, without any receipts of expenditure. The 30% allowance paid for extraterritorial expenses is exempt both from income tax and social security. Contractors approved for the 30% Ruling cannot claim any further extraterritorial expenses, though they are still eligible for other allowances (for example, relocation allowance, travel allowance for commuting and business travel etc.).

Those who do not qualify for the 30% ruling can get deduction for extraterritorial expenses.
Do I need a VISA to work in the Netherlands? 

If you are not an EU/EFTA national, you will require a long-stay national visa or temporary residence visa (an MVV) to work in the Netherlands. You and your sponsor in the Netherlands are required to apply for the MVV and residence permit at the same time. Nationals of Austria, Canada, Japan, New Zealand, South Korea and USA are exempt from the requirement for a MVV but the sponsor in the Netherlands is still required to apply for residence permit. Once the residence permit is approved, you are eligible to enter to the Netherlands and start work.

Should I keep my company registered in my home country? What are the pros and cons of this?

Certainly if you plan to use it again, after your assignment in the Netherlands is over.

The pros and cons are the cost of keeping the company dormant compared with the cost and administration of closing down one company and incorporating another.

For more information on freelance and permanent SAP jobs from Recruit 121, call us on +44 02920 496121 or email us at: info@recruit121.com

Recruit 121 Limited and Access Financial are unrelated companies, other payroll solution providers are available and contractors should take independent advice so that their individual circumstances are properly considered.

access financial

“Professional, pragmatic and solution oriented”, Josh Williams celebrates 8 years at Recruit 121

Josh Williams Recruit 121This week, at Recruit 121, we celebrated the 8th anniversary of Josh Williams joining our team.

We caught up with Josh, now a Senior Recruitment Consultant, to find out about how his journey started, the changes he’s seen over the 8 years he’s worked within the industry and how he sees the future for those looking for work in SAP.

 

 

The road to Recruit 121:

After studying for a degree in IT at The University of Glamorgan between 2002 – 2005, Josh began to look for jobs in the IT industry. He started working with Recruit 121 in May 2007 and was immediately drawn in by the fast paced, success driven environment that IT recruitment offers.

Career Highlight:
Josh is one of the leading suppliers of freelancers to one of the biggest software companies in the world. Francesca Romagnolo, Resource manager at SAP Italia said: “Josh is very professional, pragmatic and solution oriented. His communication style is very effective and always to the point.”

Changes in the industry:
Josh is always conscious of the ever growing role of social media, particularly LinkedIn, in both SAP recruitment and the SAP industry itself. Josh uses LinkedIn to connect with SAP consultants or analysts who are looking for work, to take the time to understand their skills and preferences in order to find the right candidate for the right role – this fits in with his belief that an open, transparent and honest approach to business is extremely important.

The future of SAP jobs:
In line with SAP CEO Bill McDermott’s announcement of ‘Digital for Customer Engagement’ – a cloud CRM platform designed for individuals, small teams and SMBs but with enterprise-grade capabilities, Josh sees a move away from on premise SAP solutions to cloud based solutions on the horizon. This development brings across the expectation that there will be more vacancies for the user interface aspect of cloud.

As a Senior Recruitment Consultant at Recruit 121 Ltd, Josh specialises in locating SAP consultants for both Permanent and Contract roles across EMEA and MENA. If you are a SAP consultant or analyst, let Josh take the time to understand your skills and preferences so that he can screen our current and future SAP openings for you.

Contact Josh now on: +44 (0) 2920 496 121 or email: josh.williams@recruit121.com