UK company looking to hire contractors or consultants in the USA? We’ll help you find the right solution—quickly, compliantly, and cost-effectively.
At Contractor Taxation, we have over 15 years of experience helping thousands of UK companies hire contractors across the United States. Our service is completely free to you—we’ll present your best options and help you choose the right one. Knowledgeable, friendly, and responsive by phone or email.
Sound Familiar? Real Questions from UK Companies Like Yours
“I am a director for a UK-based company. I would like to engage a US citizen, resident in Virginia, USA to perform R&D work in the US on my company’s behalf for a period of between 6 and 18 months. I am interested in understanding the costs rather than paying the US citizen directly.”
“I work for a UK Umbrella payroll company and I’m interested in information about payroll contractors in USA and Canada and potentially other areas as well.”
“We are a global company with our EMEA HQ based in the UK. We are looking to hire people in countries where we do not have an Entity, which means these people would be hired as contractors via a third party.”
“We are a UK based company looking to hire someone from the US. We are looking to understand how we can go about this and what are the implications for our company for having a US based employee?”
“My firm is looking to expand our compliance service offering into the UK, EU and Asia Pacific this year and we need confirmation that you can handle contractor arrangements in the USA.”
“We are looking to employ a sales manager in USA but do not want establish him on our UK payroll. What details would you need to advise on cost of your providing a payroll service to do this in USA. We currently do not have a legal entity in the USA.”
“Hi, We are UK based company and have 2 employees in the US: in Denver, Colorado, and North Carolina. Can we get them on payroll services there with local taxes, and how much it will cost? We don’t have any US entity. Many thanks”
“Hi there, I am a UK employer who is looking to hire someone based in the US. We would like to arrange for a 3rd party payroll to help with paying him? Is this something you offer? Let me know if we can discuss. Kind regards”
“Hello, I am a director for a UK-based company specialising in scientific R&D. I would like to engage a US citizen, resident in Virginia, USA to perform R&D work in the US on my company’s behalf for a period of between 6 and 18 months. I am interested in understanding the costs of using an umbrella company rather than paying the US individual as an independent contractor so that we can identify the best route forwards. The base salary is likely to be in the range of GBP50,000 to GBP60,000 per annum (so roughly $70,000 to $83,000 per annum) and the work will be carried out in Virginia, USA. Many thanks for your time”
“hello, we are a financial services firm with offices in UK, Canada and Luxemburg. We want to hire 1 USA employee who is currently based in the USA and is a USA citizen but we do not have a legal entity in the USA to employ him. Is this something you can help with?”
“Hello, I am setting up a UK-based technology startup and I will potentially want to employ one person who is a US citizen, resident and working in the US. Could you give me an indication of how your charges are structured for a single long-term overseas employee? Many thanks”
“We are looking to hire in the US and looking for a solution that doesn’t require us to incorporate in the US (we are UK based)”
“We are looking into the possibility of hiring a US based employee on a part time basis. I was hoping you could advise on if you are able to offer your services before a candidate is employed? And if so, what your fees are for this. We are based in the UK. Thanks in advance.”
“I would be interested in having a conversation. We are a UK company – but are looking to hire a US individual based in Miami, It seems that you could provide a solution. If someone could call me to discuss I would be grateful. Kind Regards”
“We are a small (less than 10 employees) UK company potentially looking to employ a UK citizen who is permanently resident in the USA. Can you give me a rough idea of the costs involved in running a monthly US payroll for us? Thanks.”
“Hi I manage a clinical research not-for-profit organisation in the UK and I am hoping to employ a clinical research associate based in the Chicago area for a two year period urgently. I would be very grateful if you could advise me on your pricing arrangements and your process”
“Dear Sirs, We are UK company employing our first employee in US and looking for a service to enable us to pay them easily.”
“Hi, I I have been referred your details by EY who has suggested that your company may be able to able assist with an overseas employment matter. In particular, we are seeking a PEO (Professional Employer Organisation) to act as an operational employer on our behalf, with a view of carrying out general payroll functions, company benefits in addition to localised US tax requirements. We are a UK based company and we currently do not have an established entity in the United States, although we do have an EIN (Employer Identification Number) which we have set-up for reporting purposes for Directors within the company. To add some context, the candidate we have identified is based in Ohio, US and we would seek to engage with her for a minimum of 12 months, although this engagement is likely to be extended beyond the initial term. The individual will not be relocating to the UK and would like to work 100% out of the US, although she may periodically travel to the UK for work purposes. As this is a fairly unexplored matter for us, I would appreciate it if you could confirm responses to the following information, in order for us to assess how best to move forward:1) Can you please confirm what your services would typically cover2) Who would be the employing entity in this matter? a) Who would be responsible for administering the employment contract ? b) Are you able to carry out pre-employment screening for candidates of this nature? c) If the employing entity is not the LME, how would we deal with potential performance issues, or anything else of this nature (should they arise). 3) How does the employment relationship work practically, i.e. benefits, tax filings etc. 4) Do we need to register in the US and if so, can you please explain what this process would consist of? 5) What are the costs associated with this service? 6) Is this a usual approach to deal with remote workers to provide a service for a non-US entity? If not, could you please advise how in your experience this would usually be dealt with? 7) Can you please confirm what the difference between an PEO/umbrella company/employer and can you also confirm which of the three you would recommend in the above situation 8) AOB that we need to be aware of? I appreciate your assistance in this matter and I look forward to your response. Kind regards”
“A UK non-profit is seeking to add 1-2 employees in the US and we are exploring options for employment support. I would appreciate a short call to better understand your services for such a relationship. thank you”
“Hello, I’m gathering information for a potential employer that wants to hire me. They are based in the UK and I live in the US. The company want’s to bring me on full time but neither of us have navigated hiring an international employee before. Based on the information I’ve gathered, I think a 3rd party to handle the taxes and withholding may be the best way to go. Is this a service you offer? What are your rates? What do the rates look like if we were to bring on additional US based employees in the next year or two? Thank you for your time, Cheers,”
These are real enquiries from UK companies hiring in the USA. We helped them find compliant, cost-effective solutions—and we can help you too.
Why UK Companies Choose Our Service
✓ Completely Free Service
Our service costs you nothing. We’re paid by the umbrella companies and employment providers, so we can offer you unbiased advice at no charge.
✓ Over 15 Years of Experience
We’ve helped thousands of UK companies hire contractors in the USA. We know what works, what doesn’t, and how to get you set up quickly.
✓ We Know All Your Options
We partner with all the major US umbrella companies and contractor management providers. We’ll present you with the best 2-3 options for your specific situation.
✓ Expert Guidance on US Compliance
US employment law, payroll taxes, state variations, and IRS contractor classification can be complex. We guide you through it all.
✓ Fast, Friendly Support
We’re here by phone or email to answer your questions. No automated systems—just knowledgeable experts who’ve helped UK companies exactly like yours.
How We Help UK Companies Hire Contractors in the USA
Contractor Management Solutions
Don’t want to set up a US corporation or LLC? You don’t have to. US umbrella companies can employ your contractors on your behalf, handling all US payroll taxes, federal and state withholding, and compliance.
Understanding Your Options
Should your US worker be:
- An independent contractor (1099)?
- An employee through an umbrella company (W-2)?
- A consultant billing through their own corporation?
We’ll help you determine the most compliant, cost-effective structure based on the actual working relationship.
Multi-State Considerations
Hiring in California, New York, Texas, or another state? Each has different employment laws and tax requirements. We help you navigate these differences without needing to register in each state.
Cross-Border Payments
We’ll guide you through the best ways to pay US contractors, including currency considerations (GBP vs USD), tax withholding, and 1099 reporting requirements.
Converting Contractors to Employees
Already working with US contractors and want to bring them on as employees? We facilitate the transition through umbrella company solutions.
Common Scenarios We’ve Helped With
UK Companies Expanding to USA
“We’re looking to expand into the USA and need to hire contractors without setting up a US entity initially.”
How We Helped: Connected them with US umbrella companies that handle contractor employment across multiple states, allowing them to test the US market before establishing a formal entity.
Global UK Companies with US Contractors
“We’re a global company with EMEA HQ in the UK. We need to hire contractors in countries where we don’t have entities.”
How We Helped: Provided umbrella company solutions across multiple countries including the USA, allowing compliant contractor hiring without setting up entities in each location.
UK Payroll Companies Supporting US Contractors
“I work for a UK payroll company and need information about payroll contractors in the USA.”
How We Helped: Introduced them to US payroll and umbrella company partners, enabling them to serve clients with US-based contractors.
What You Need to Know About Hiring US Contractors
Independent Contractor vs. Employee (IRS Classification)
The IRS has strict rules about contractor classification. They look at behavioral control, financial control, and type of relationship. Misclassification can result in penalties and back taxes.
1099 vs. W-2
Independent contractors receive a 1099 form (no tax withholding). Employees receive a W-2 form (with tax withholding). Umbrella companies provide W-2 employment, ensuring compliance.
State Variations
Each US state has different employment laws, minimum wages, and tax requirements. California has particularly strict contractor classification rules (AB5). We help you navigate these differences.
Federal and State Tax Withholding
If your worker is an employee (or should be), employers must withhold federal income tax, Social Security, and Medicare taxes. Umbrella companies handle all of this for you.
No US Entity Required
You don’t need to incorporate a US company or get an EIN (Employer Identification Number). Umbrella companies handle all US registrations and compliance on your behalf.
How Our Free Service Works
Step 1: Free Consultation (15-20 Minutes)
Contact us by phone or email. Tell us about your US hiring needs: How many contractors? Which states? What type of work? We’ll discuss your situation—no obligation, no cost.
Step 2: We Present Your Best Options
Based on your specific needs, we’ll recommend 2-3 solutions (umbrella companies or contractor management providers) with transparent cost comparisons. Remember: our service is free to you.
Step 3: You Choose What’s Right
We’ll explain the pros and cons in plain English. You’ll understand costs, compliance implications, and what to expect. You make the final decision.
Step 4: We Facilitate Setup
Once you’ve chosen, we’ll introduce you to the provider and help coordinate onboarding. We’re here to answer questions throughout.
Step 5: Ongoing Support (When You Need It)
Even after setup, we’re available if you have questions or need to scale up. That’s the benefit of our 15 years of experience.
Frequently Asked Questions
Do I need to set up a US corporation to hire contractors?
No. US umbrella companies can employ contractors on your behalf. You avoid the cost and complexity of incorporating in the USA.
How much does it cost?
Umbrella company charges can vary dependent on the level of service, salary and market sector. Some providers charge a set monthly fee whilst others charge a percentage of salary. We’ll get you transparent quotes from multiple providers so you can compare. The cost is significantly cheaper than full employment solutions.
What about California’s AB5 law?
California has strict contractor classification rules (AB5) that make it very difficult to use independent contractors. Umbrella companies providing W-2 employment are often the best solution for California.
Can I hire independent contractors or do they have to be employees?
It depends on the actual working relationship. If you control how, when, and where they work, they’re likely an employee under US law. We’ll help you assess your situation honestly.
What’s the difference between hiring in California vs. other states?
Each state has different requirements. California, New York, and some others have stricter contractor classification rules. We work with providers experienced in state-specific compliance.
How long does setup take?
Typically 1-2 weeks once you’ve chosen a provider. We can often expedite for urgent needs.
Do you handle contractors in multiple US states?
Yes. Umbrella companies can employ contractors across all 50 states. You get a single point of contact for payroll and compliance.
Why is your service free?
We’re compensated by the umbrella companies and providers in our network. This allows us to offer unbiased advice at no cost to you. We succeed when you find the right solution.
Ready to Hire Contractors in the USA?
Get your free consultation today. We’ve helped thousands of UK companies just like yours.
📞 Call us or 📧 email us at contractortaxation.com/contact
15+ years of experience. Thousands of companies helped. Completely free service.
We’ll present your best options for hiring contractors in the USA—whether they’re in California, New York, Texas, Florida, or anywhere else across America.
Contractor Taxation – Your friendly, knowledgeable partner for hiring contractors in the USA. We know all your options, and we’re here to help you choose the best one.
If you have questions about how an umbrella company can help while contracting in the United States, please contact us at Contractor Taxation.
