Umbrella Employment

Definition

Umbrella employment consists of a tripartite contractual relationship. It hires a consultant (the freelancer), a salary umbrella company and a client company in which the employee carries out a service. This status stands out from the others because it is a compromise between independence and employment. The contractualization of this relationship is done in two stages:

The employment contract between the umbrella company and the employee closely resembles a traditional employment contract (CDI or CDD, executive or not, mutual).

• The employment contract nevertheless sets out the methods for calculating and paying remuneration (L1254-21). The big difference is that periods without service to a client company are not remunerated (L1254-21-ll). A salary portage agreement is sometimes proposed as a preamble to the employment contract.
• The mission contract: includes 9 clauses guaranteeing in particular the ownership of the contract to the employee (L1254-23). The contract is generally drawn up by the umbrella company due to these specificities. The service contract includes the conditions for execution of the service by the employee carried out on behalf of the client company. The employee is not necessarily a signatory. However, he must be informed of the content of the latter.

Advantages and disadvantages of umbrella employment

The advantages of salary portage for the employee and their client are numerous:

Simplicity: Once your client has been found, all you need to do is contact a payroll company to sign your employment contract. At Régie Portage for example, it takes less than 24 hours to set up and you can start your mission straight away.

Security: In salary portage you have permanent employee status, which brings security

Freedom: The management of your activity is up to you, you promote your skills yourself and set your prices. You can choose to work with the clients you want. You are also completely free to change your status or umbrella company.

Flexibility: You can start your service in 24 hours flat! Becoming a service provider also allows you to quickly terminate your contract in the event of a bad experience with the customer.

Speed: Less than 24 hours are necessary to upgrade to employee status and start your service.

Salary simulation

The salary portage simulation allows the calculation of your salary according to your TJM and your expenses.

If the result suits you, you will receive a summary by email. This simulator comes from our SILAE payroll software. To calculate the after-tax salary, you will need to deduct the amount dedicated to taxes. It is equal to the marginal tax rate multiplied by the net salary calculated with an increase of 5%. (taxable salary is slightly higher than net salary).