All You Need To Know About Portage Salarial In France

 In Contractors

Portage Salarial

Portage salarial is the French term for the services of umbrella (portage) companies that host self-employed workers in France. One of the major benefit of this is that it allows the self-employed to enjoy the autonomy of working independently. They can do this while having the social protections and status like an employee.

How does portage salarial work?

The worker will initially select the umbrella company to be used. The client company will then set up the wage portage service with the umbrella company to engage the self-employed worker. The client will negotiate the terms of service with the worker, which can be full-time, part-time or one-off projects. The duration of portage service is limited to three years per worker.

The umbrella company will execute a contract with the worker according to the client’s specifications and agreed on terms. In this contract, the working hours for the worker are not specified. Instead, hours are worked as and depends on how much the worker decides to take on. Also, the contracts do not have a notice period for them. If the freelancer wishes to stop working or set up as self-employed, they are free to.

Upon completion of timesheets or projects, the client will remit payment to the umbrella company. The umbrella company will then withdraw required social contributions before issuing a payslip to the worker. The umbrella company is paid a management fee for portage salarial services, which can be shouldered by either the worker, the client or shared by each.

What are the advantages of portage salarial?

The advantage of portage salarial for the client company is that it removes much of the uncertainty of hiring a new self-employed. The umbrella company will ensure performance before the worker is paid and intermediate in case of a dispute.

The advantage for the worker is that they will have social contributions made on their behalf, giving them access to entitlements normally reserved for employees. The portage company will also take out professional liability insurance for the workers.

Who is portage salarial for?

In France, the use of portage salarial is limited to self-employed with a certain level of professional certification or equivalent experience of at least three years. They must also be able to find their clients who need their services. Personal services such as tutoring, childcare and housework are not permitted for the use of umbrella companies. It is suitable for people involved in services such as IT and design, translation, business consulting, editorial, tele-marketing, selling to commission and other similar occupations, whether working from home or on-site.

How can we help you with portage salarial?

Contractor Taxation has umbrella companies in France with deep experience administering portage salarial. Because French laws are so specific for this service, expertise is essential when selecting an umbrella company to serve in this role. If you are self-employed and plan to contract in France, you will want to explore this option with your French clients. Please contact us for more information about how to get started.

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