See below for some frequently asked questions.  If you do not see the answer to your question, please feel free to get in touch with us!

General Questions

Fair Pay Services is available at one of the lowest weekly margins in the market. Additionally, if you are paid monthly, it is the equivalent of just 3 weeks margin rather than 4. —we truly are one of the lowest cost Umbrella solutions in the market with a huge host of benefits available!

Fair Pay Services provides the best returns for both agency and contractor, without compromising on service.

For our market beating margin, contractors get optimum returns, hassle free employment and full employment rights from a solution which is fully insured and fully compliant. All this without any hidden costs.

What’s more, agencies benefit from a fully employed and insured workforce on a compliant future-proof solution – one that is much more commercially viable than any other service currently available in the market.

You are not paying Fair Pay Services to pay your wages. We take a small margin for employing you and supplying your services to your agency. Our margin covers:


  • Employers Liability, Public Liability, Professional Indemnity, and Personal Accident Insurances
  • Flexr Rewards subscription with typical savings of £800-£1000 per year
  • Faster payment of funds
  • Dedicated helpdesk
  • Flexr- The Employment Management Platform which provides instant access to your timesheets, payslips, and absence records including leave requests and sickness.  If you choose to accrue holiday pay, you will have visibility of the amount accrued at any point through your Flexr portal
  • Fully compliant business model to facilitate working with agencies

Yes, that is correct.  We only retain a margin once for a single payment per week or month (depending on your pay frequency), irrespective of how many days you work in the week or month.  If you do not work at all, and we don’t produce a payslip in a particular period, there is no margin retrospectively charged either.

With a global infrastructure, highly robust and scalable technologies and over 300 specialists worldwide, we are able to pass on the savings we make through their economies of scale to you.

No. The service has been specifically designed so that it is free to join and free to leave. Not only this, contractors receive free faster payments, free perks & discounts and free insurances as part of the package.

Employment Costs / Holiday Pay Questions

This is the amount of Employers Costs, such as Employers NI, Apprenticeship Levy, Employers Pension (if applicable) and Holiday Pay, which Fair Pay Services must pay based on your earnings. This is itemised on your payslip alongside the margin retained by us.

Agencies will increase the PAYE hourly rate to Umbrella Contractors to include these costs to ensure that Umbrella employees are not worse off than equivalent PAYE workers.

Your contract rate is the rate agreed between the agency and the umbrella company for your assignment, rather than your pay rate.  All we retain from the transaction is our margin, therefore Employment Costs such as Employers NI must be calculated within the contract rate before we arrive at your pay rate.  You then pay Employees NI based on your Gross Pay like any other employee.  If you were a PAYE employee of the agency, the Employers NI would still need to be paid, but the agency would pay you a lower PAYE rate and then account for this on.

The Employment Costs are broken down for transparency and it’s also combined as an overall Employment Costs figure.  It’s only deducted from the total invoiced amount once though.  You’ll see that the Total Invoiced, minus Margin, minus Employment Costs, Minus Holiday Pay, equals the Pay amount.

You receive statutory holiday pay every time you’re paid in respect of your entitlement to paid leave. This is shown as HOLIDAY PAY on your payslip. Standard statutory holiday pay is currently 12.07% of your pay rate, although your individual accrual rate may vary due to AWR and increased comparator entitlements such as additional annual leave etc…

Yes, absolutely.  Our standard position is that holiday pay is accrued for later use, you can then request it as pay when you take time off work.  If you do choose to have your holiday pay paid to you each time you are paid, we have a form that needs to be completed by you detailing this request.  You will be given the choice when you sign up with Fair Pay Services and are free to change your mind at any point.

Your contract rate includes our margin, Employment Costs and Holiday Pay.  Holiday Pay has to be removed in the 1st part of the reconciliation.  It is then your choice whether you have it accrued for later use, or added to your payslip to be taxed and paid in the current week.  We’re happy to provide illustrations of both options.

Salary / Bonus Questions

Salary is always the number of hours worked at National Minimum Wage.  If your usual working day was 8 hours x 5 days per week, you would see 40 hours at NMW (currently £9.50) respectively for this.  We’re happy to provide detailed examples to show the full breakdowns, deductions and net pay.

Bonus is the remainder of your Gross Pay after Salary at NMW is calculated.  It is taxable and part of Gross Pay, but the reason it is shown this way is to account for fluctuations in hours worked / employment costs / different assignments etc to ensure that the contract of employment (available to view within your Flexr portal) is always valid and refers to the assignment schedule (provided by your agency or client) for the actual contract rate. 

Some umbrella companies do specify the bonus amount as a discretionary amount to protect themselves, however we have it as a guaranteed and variable bonus.   

Payroll Questions

As an employee you are entitled to statutory sick pay (SSP). SSP is paid when the employee is sick for 4 days in a row. You start receiving SSP from the fourth day (if you normally work that day) as the first three are so called ‘waiting days’ or ‘qualifying days’

As an employer we do not advise on the tax credit system due to the complexities and the individual nature of each claim but we are able to give the following information that may assist; 

Tax Credits are reviewed on an annual basis and therefore the amount received and assessed will be the amount from all sources of income in any given Fiscal Year. The amount you can provide as an estimate of earnings should be the Gross Income through PAYE that you expect to receive in the year and if that is significantly different to previous years we would advise that you communicate this to avoid any further overpayment occurring.

Whilst you are working with the Tax Credit department to resolve the overpayment your income will not be reduced. If the over claim is not resolved then they have the power to apply for an attachment of earnings order which would be collected through your payroll

No, you would become our employee and at the end of the tax year, we will issue you a P60 detailing your total income and total taxes etc…. These figures should be entered into your tax return if you need to do one for other reasons and will be considered as part of your overall tax liability and tax paid.

The ‘336 Hours annually employment contract’ refers to clause 7.3 of our contract of employment.  

We as umbrella companies, are businesses that take on contractors, agency workers and other types of temporary workers as our own employees with continuous contracts of employment. Our sole purpose is to employ people like this. To meet the rules to be a ‘continuous’ employment, we must provide a guarantee of at least 336 hours of work per year at the minimum wage.

We have an internal process to monitor employees who are not working at least 8 hours per week, to discuss with them if they are able to accept and work the guaranteed 336 hours.  It is then their choice whether to accept or reject those hours.

Yes, by joining Fair Pay Services you would become our employee, and we issue P60’s by the end of April, following each tax year end.

Contact Us


Please call or email now to find out more!

Payroll Enquiries / Customer Services (Option 1)
Mon-Fri 8am-8pm
[email protected]
New Registrations (Option 2)
Mon-Fri 8am-8pm
[email protected]

Sales / All Other Queries (Option 3)
Mon-Fri 9am-5:30pm
[email protected]


Out of Hours

Outside of our opening hours, you can leave a voicemail which will be actioned by the relevant team as soon as we open. If you have an urgent out of hours query, please send an email to [email protected] and we will do our best to assist you.

5th Floor, 42-50 Kimpton Road, Luton, Bedfordshire, LU2 0FP