Calculation of salary on wage portage
When considering becoming an employee, the calculation of the salary and the remuneration in wage portage is a central question. Indeed, one can sometimes be worried to see his salary greatly reduced compared to the remuneration of a freelancer, and therefore that this affects his comfort of life. Therefore, we recommend anticipating the cost through a wage portage simulation which will allow you to get a clear idea of the impact that this will have. Status change. We will thus be able to know his salary in wage portage and make his decision to change status with reliable information.
What is wage portage?
Wage portage is a new form of employment that can be a solution halfway between being an employee and a freelancer. Indeed, this status offers the autonomy and flexibility of self-employed status while enjoying the benefits of salaried employment. Growing since few years, this solution attracts more and more consultants wishing to find certain advantages relating to the wage-earning did not benefit by starting their business.
How it works ?
Wage portage is based on a so-called tripartite relationship between a independent consultant, a client company and a wage portage. The consultant researches and negotiates his own rates and assignments with client companies in its network. He thus has all the freedom to manage his activity in the same way as if he were freelance. A CDD or CDI type employment contract binds him to the umbrella company, which allows the latter to implement enters into a commercial contract with the client company.
In this way, the portage company can invoice the service carried out by the consultant to the client company. She thus perceives the remuneration from which it will deduct charges and other costs Management. At the end of the month, the consultant who is therefore an employee will be paid his salary.
A growing success
Wage portage has had some success since in 2017, we already counted more than 250 umbrella companies. On the side of consultants, it was nearly 65,000 the same year and the figure has not stopped growing ever since. We can therefore observe a real desire for part of the self-employed to reconnect with a form of wage labor while continuing to enjoy some freedom. Indeed, before to approach the calculation of the salary in wage portage, it is interesting learn about the benefits of working with this type of status. We can then consider the question of the cost of then more targeted wage portage.
Who is he talking to ?
Portage is aimed at self-employed entrepreneurs who want to devote themselves to their job, to retirees who want to resume or keep their activity, to business creators who wish to test their project, trainers who wish to benefit from a referencing for exercise, to employees who want to combine several types of activities or again to consultants who wish to work internationally.
Why choose wage portage?
If many people have decided to start or simply to take an interest in the calculation of the salary in wage portage, it is because it There are many advantages to choosing this solution.
The same freedom as freelance work
One of the main disadvantages of employee status is that it is necessary to respect a framework set by the company and its contract for the accomplishment of its missions. The choice of customers, remuneration, hours, the way in which the mission is carried out, all this generally escapes the employee who must comply with certain rules and precise operation. The advantage with being self-employed or self-employed, it is precisely that one can free yourself from this functioning in order to find your own way of do things. Whether it is the amount of remuneration, the missions that we wish to carry out or even clients for whom we going to work, the self-employed enjoy great freedom.
Wage portage precisely allows you not to have to give up this freedom while enjoying employee status. In fact, the company of porting does not impose anything except what one will find in the contract, i.e. the amount and the contribution rates and the costs of management as well as compliance with certain basic elementary rules. The employee carried, whatever the cost of the wage portage, benefits therefore always of great freedom, just like a freelancer. It is moreover, it is up to him to find his clients and manage his own operation without the umbrella company intervening in this point. Freedom is therefore an essential asset when considering the employee status carried. Then comes the question of the calculation of the salary in wage portage.
The advantages of employee status
The reason why professionals decide to embark on the adventure of babywearing is that they want to take advantage of the same benefits than employees. Indeed, being a freelancer has many advantages, but also disadvantages, particularly in terms of social protection, support, or even access to rights to unemployment or pensions. It is often necessary to manage alone also for the accounting and administrative management of his company, unless he calls on a professional, which entails costs. There are therefore several issues that must be approached by an independent outside the production and invoicing of a mission.
With wage portage, many status-related issues of freelance are no longer to be taken into account. We will indeed benefit the same benefits as any other employee. There is good obviously access to social protection with Social Security, but also access to an interesting mutual insurance offer, provident insurance, access to unemployment, and many other benefits according to the company carrier chosen. Moreover, you can fully devote yourself to your work since many administrative and accounting tasks are also supported by the umbrella company. The management of social security contributions, VAT, employer charges, management administrative and many other tasks are no longer to be take into account. You can thus devote yourself to your work and to the revenue growth.
Step-by-step support and guidance
The support offered by the umbrella company can also be a real asset. Some offer personalized support step by step to help consultants make their projects a reality. He is it is also possible to access training or workshops. This gives us the opportunity to meet other employees who are driven and to interact with them. It can be a real advantage when we know that the self-employed are sometimes very isolated in the framework of their activity.
Devoting yourself entirely to your business
Choosing this solution is also a way of fully devoting oneself to its missions and thus to develop its clientele, to gain in skills, and focus on their core business. Thanks to wage portage, we can indeed free ourselves from tasks administrative and accounting which sometimes require devoting lots of time and energy. The carried employee can then fully devote themselves to their activity, enhance their image, develop new projects and much more. One can also consider to better manage their schedule so that it is fully in harmony with his personal life. Freelancers who opt for the portage can thus return to what their job really is, and benefit from professional support and advice in the management of their business.
Calculation of wage portage
To calculate the salary in wage portage, several factors are to be taken into account. In particular, it is necessary to take into account the fact that social security contributions are always applicable and that costs of management will most certainly apply. Taking into account these different information, it is thus possible to calculate the salary in wage portage and thus know the cost of wage portage in order to to optimize their remuneration.
What is the cost of wage portage?
Before addressing the question of remuneration and salary, it is important to take into account the cost of wage portage. In effect, calculating the salary in wage portage requires taking into account take into account the cost of wage portage, the one that will precisely impact the remuneration. It is from the turnover achieved that the umbrella company will pay a salary. The amount of the latter goes therefore directly depend on the turnover that may have been carried out, which makes it possible to keep the same mode of operation as when you're freelancing. To simplify, we can illustrate the cost of wage portage as follows:
- Turnover excluding VAT - Management costs = overall cost
- Overall cost – Social charges = net salary
In order to know the cost of wage portage, it is therefore necessary to take into account account the management fees applied by the chosen umbrella company. In order to calculate the salary in wage portage, it will also be necessary take into account the social charges that i will also have an impact on the salary paid. Several factors must therefore be taken into account. account to know the cost of wage portage.
What is the management fee and does it cover?
The management fees are the fees applied by the umbrella company for the implementation of the employment contract and the support offered. It is in this way that the company remunerates itself and faces its own costs. The management fees cover, among other things:
- Setting up the consultant's file
- The establishment of the consultant service contract
- The Single Declaration of Employment with URSAFFconsultants
- The declaration to the various organizations of compulsory contributions consultants
- The establishment of the employment contract adapted to each consultant mission
- Invoicing and collection of client-consultant invoices
- Establishment of consultant payslips
- Tools for managing the activity of the employee porteconsultants
- The possible presence of a corporate social committeeconsultants
- Accompaniment of the employee carried consultants
There are therefore many tasks that management fees make it possible to take charge. Most often, it is a rate between 5% and 15% of the turnover excluding tax which is offered by the portage company to the independent consultant. It all depends on the companies and the offers that they offer. Moreover, it is possible to benefit from fees declining balances and to negotiate their amount in the event of turnover pupil. It is therefore advisable to be well informed first of all to obtain the lowest possible rate for management fees.
What about social security contributions and employer charges?
In addition to the management fees which will impact the salary of the employee carried, it is also necessary to take into account the employer's charges as well as payroll costs. These charges are indeed mandatory. and can have a certain influence on the calculation of the salary in wage portage. From the invoicing excluding VAT made to the customer, we will therefore remove the rate relating to management fees, that relating to employers' contributions and that relating to social contributions. We go like this be able to get the net income amount.
How is net income calculated?
To calculate the salary in wage portage, i.e. net income, it is therefore necessary to remove the management fees, the charges employers and payroll costs. Most often, we consider that the net salary of a carried employee represents between 45% and 60% of the turnover excluding tax. The remuneration is therefore generally less important than when you are a freelancer, but these are the advantages inherent in the status of carried employee which will allow compensate for this drop in salary. Moreover, choosing for this new operation also makes it possible to reduce certain expenses that impacted the turnover.
How to optimize the calculation of the salary in wage portage?
The choice of your carrying company will directly impact the amount charges and management fees that will be applied to its figure excluding tax. It is therefore advisable to carefully compare the offers and to discuss with the desired umbrella company to find the rate that will best correspond to their expectations and the calculation of the wage in portage salary you want to get. Moreover, there are ways to optimize his remuneration, thanks to several tips.
Transfer operating costs to professional expenses
The employee carried has the possibility of optimizing his income in certain business expenses. For this, we will distinguish two types of charges :
- The fees applied to the client company which are related to the mission and the payment of which is to be negotiated with this company
- Operating costs not invoiced to the client company such as internet subscription, telephone, prospecting costs, subscription to a coworking space, etc.
Operating costs are not a salary and are therefore not subject to social contributions. It is therefore quite possible to ask for them to be taken over by the carrying company on the account consultant in order to avoid paying social contributions on these are. The policy for taking these costs into account varies from one umbrella company to another, it is therefore interesting to inquire in advance.
Recover VAT on fees
Some portage companies offer to pay back to their employees the VAT collected on professional fees. In other words, when Expenses subject to VAT are transferred to professional expenses, the portage company has the possibility of paying back the VAT collected on the account of the consultant.
Make payments to the PEE or PERCO
If the chosen company offers an employee savings scheme such as the PEE (Savings Plan ne Entreprise) or the PERCO (Plant Savings for the Collective Retreat), this can be very interesting if you have savings capacity and you do not want to convert the full salary billing. Indeed, the payments made are supplemented according to the conditions set out in the company agreement. We can, depending on the circumstances, then recover the sums of his PEE or PERCO.
Benefits offered by companies
Finally, we can also look at the advantages offered by the company chosen. Some offer, for example, the setting up of tickets restaurant or to buy CESU vouchers or holiday vouchers. These benefits will be added to the remuneration, which can be very interesting for the consultant.
When is payment made?
The payment of wages can be organized in different ways depending on depending on the chosen formula. For example, there is the payment of the entire invoice regardless of its collection. There company pays a net salary which corresponds to the entire invoicing for the past month from which it of course subtracts the management fees, employer charges and payroll charges. THE time for the payment to be set up, it takes a remuneration around the 10th of the month approximately.
It is also possible to opt for the conventional minimum payment and supplement when paying. Indeed, the collective agreement of wage portage defines a minimum remuneration which is equal to 77% of the monthly social security ceiling, i.e. €2,517 for an equivalent full-time and up to 93% of the ceiling for day passes. Of many companies therefore offer to pay this remuneration minimum at the beginning of the month and then pay a supplement when settling of the invoice by the customer.
Are there reimbursed costs?
As mentioned above, there are professional costs that we may be reimbursed by the customer such as travel expenses, accommodation, meals, the purchase of equipment, etc. This is a issue to be addressed directly with the client. It is also important to clearly show these costs separately on the invoice. So, these costs are not subject to social security contributions or income tax. Income.
What remuneration between two missions?
According to the order of April 2, 2015, the portage company is not obliged to provide work or to remunerate an employee carried between two assignments. Just like when you have self-employed status, periods between two missions are therefore not remunerated, which involves anticipating in order to be able to meet its costs. That being so, a prospecting allowance has been set up by the partners social in the collective agreement. Its amount is equal to day's monthly salary, which is equivalent to between €138 and €168 gross per month. It is therefore an insufficient amount, hence the interest to anticipate the periods between two missions or those which are dedicated to prospecting.
Is it possible to combine unemployment and wage portage?
Self-employed persons eligible for the ARE (Allocation d’Aide au Retour à Employment) have the possibility of combining this aid as well as the salary linked to a new activity. However, the salary of the new activity does not exceed the amount of the ARE. It is moreover possible to extend the compensation period by postponing the days unpaid compensation due to salary at the end of the period compensation. It is recommended to contact Pôle Emploi to obtain more information regarding the accumulation of salary in wage portage and unemployment benefits.
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