does this sound right and is there anything I need to be aware of?

[PrincessScrumpy]

I work for a company 12 hours a week. I have recently been asked to take on a new role which is more of a project with bits and pieces coming up but no set hours. I'll be doing some PR but it's not for this company, but a company closely linked that my boss it's chair of. I will be paid by the other organisation for the PR stuff and will invoice them. I inquired about a contract and job spec but have been told that as I'm doing it freelance there will be no contact our job spec - is this right? Also, can I be freelance for one company? Originally I was told I would be paid as overtime in my pay slip and the company would get the money from the other organisation but now I may have to split my tax code (although I don't know what that really means). I really want the job but do not have a clue about the implications of being freelance. Please help.

You can freelance for as many people as you like, you might be asked by a company not to take on any work from other sources whilst covering their project but that's something to discuss on an individual basis.
And to cover your own bak you MUST have a signed contract before you start work for anyone. How else will you prove rates of pay and other entitlements? This can be a contract that you, or they draw up, or you agree together, but both parties should sign and keep copies.
I'm not sure I understand about how you're being paid though. Sounds like company 1 (that you already work for) is employing company 2 (that company 1's boss also has interests in) to cover a project and that company 2 are outsourcing part of that to you and effectively having company 1 pay you directly. Seems a bit too complicated!

I freelance and I always have at least a basic contract outlining what I will be doing, how many days and my day rate.

We've agreed an hourly rate and I seem to have 3 people to run everything passed for clearance. All just agree with what I've done and are very happy. I've been asked to come up with a plan and when I asked how much time they want me to spend on it they just shrugged saying they didn't know. I think I'll have to give it a couple of months and see how we go.

Hi princess

Sorry to hear it has got complicated. It sounded great.

Your employer might change your tax code, but really that is their business. You will be responsible for the recording and declaring of your self-employed earnings and tax. There are lots of helpful documents on the HMRC website search 'self employed'.

Start by registering as self-employed on the HMRC site.

Also start keeping all your related business receipts as they can be taken off your earnings. Things like travel, mobile bill etc.

I put 25% of my earnings away for tax. So if they asked you to do this work for £x per hour, as a self-employed person you should be looking for £x+25%. They will be saving employers NI and a pension contribution etc.

I think they'll still sort the tax but I don't think I'll find out until my first invoice goes in.
It's still a fab opportunity - I think my brain may be over thinking it. Like anything, it's all unknown so I just need to get to grips with it.

If they sort the tax then you're not self employed though? You're just doing some temp or casual work through another company's pay roll.

Seems a bit odd to me - you can be employed and self employed at the same time, but if you are, you need to meet the self employed HMRC criteria - one of the key points being around your contract - if you have a contract for services provided to this company for your PR work then that strengthens your case that you are self employed, however there are other factors such as do you provide PR work for other companies, do you have an element of risk at all - so if they put a stop to the project half way through after you had spent a number of hours on it, will they pay your invoice?

Also with tax codes - you are responsible for your tax code, please dont ever think it is purely the employer as they often get them wrong for various reasons and HMRC will still expect full payment of any errors once they are discovered

not sure why the company you work for can not invoice this other company for the PR work and then pass on the revenue that way through increased wages to you? If you are going down the freelane road, make sure you get something signed in writing before you do any work on the project and before you register

Sorry numbers is correct, looks like your 'employed' tax code is your responsibility. Has changed (I think) since I was last employed.