take home 550 p day - but ir35 - help
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    Nervous Newbie


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    Default take home 550 p day - but ir35 - help

    Im currently on 500 p day under my ltd company.

    Ive been offered work with NRail on 550 per day but IR35 stands

    how much will umberella take ? and do they take my tax also at source?

    how much will i take home per day after umberella and after tax? with IR35 is it not a good thing to take on the position now? im worried..

    thanks in advance

    and if you know a cheap umberella company that would be great

  2. #2

    Ddraig Goch


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    Quote Originally Posted by Lewismorgan View Post
    Im currently on 500 p day under my ltd company.

    Ive been offered work with NRail on 550 per day but IR35 stands

    how much will umberella take ? and do they take my tax also at source?

    how much will i take home per day after umberella and after tax? with IR35 is it not a good thing to take on the position now? im worried..

    thanks in advance

    and if you know a cheap umberella company that would be great

    Ask umbrella for a quote. They charge betqeen 15-30 per week. BUT you're going to be paying shedloads of tax. 550 inside is probably worse than 500 outside.
    Rhyddid i lofnod psychocandy!!!!

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    Check Contractor Umbrellas site out. They have a calculator on it so you can play around with that but it will depend on how much you've paid yourself already and stuff so only an indication.

    Don't look for a cheap umbrella, look for a good one. If you focus on cheap you might be tempted by the 85%+ crowd which is very very bad.

    There are ways to mitigate the tax by paying in to a pension as well. Again Contractor Umbrella have a good one so speak to them about it. Are you sure your agent doesn't have a PSL though?

    Try having a look at the search method detailed in the FAQ. This type of post is popping up more and more and you will have a lot more questions which have already been asked.

    HTH
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    eek
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    bored now

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    Only thing to add to NLUK comment is that inside IR35 means no expenses are tax deductible - and that includes the journey to and from the client...
    merely at clientco for the entertainment

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    thanks guys, i guess ill not accept the opportunity may as well go full time and get benmifits if this is the case... why did the gov do this? must be a nightmare recruiting good staff now for the gov. ?

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    Quote Originally Posted by Lewismorgan View Post
    thanks guys, i guess ill not accept the opportunity may as well go full time and get benmifits if this is the case... why did the gov do this? must be a nightmare recruiting good staff now for the gov. ?
    Read the stickies in the thread and the news articles. It's all in there. We've been discussing this for nearly a year now. Get yourself on the IPSE, contractorUK, contractor weekly and linkedin news distribution lists. They've all been sending articles out over the last 12 months plus so this should not be news to you at this stage.

    When you turn it down make it very clear it's becasue of the inside determination. The more the clients struggle with it the better the chance they'll do more to work on making the roles outside where possible.
    'CUK forum personality of 2011' - Winner - Yes really!!!!

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    Should post faster


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    Quote Originally Posted by northernladuk View Post
    When you turn it down make it very clear it's becasue of the inside determination. The more the clients struggle with it the better the chance they'll do more to work on making the roles outside where possible.
    or do the calculations and try to negotiate an increase to cover the difference, again making it clear that it is because of the inside determination

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    Still gathering requirements...


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    Quote Originally Posted by Lewismorgan View Post
    Im currently on 500 p day under my ltd company.

    Ive been offered work with NRail on 550 per day but IR35 stands

    how much will umberella take ? and do they take my tax also at source?

    how much will i take home per day after umberella and after tax? with IR35 is it not a good thing to take on the position now? im worried..

    thanks in advance

    and if you know a cheap umberella company that would be great
    Not worth it. I wouldn't do the mistake of accepting it. Your take home after taxes (and paying for expenses from it - you cannot claim expenses) would be worth around 350 approx.

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    Quote Originally Posted by northernladuk View Post
    Check Contractor Umbrellas site out. They have a calculator on it so you can play around with that but it will depend on how much you've paid yourself already and stuff so only an indication.

    Don't look for a cheap umbrella, look for a good one. If you focus on cheap you might be tempted by the 85%+ crowd which is very very bad.

    Or even have to cope with a company that closes down and runs off with your money.

  10. #10

    More time posting than coding

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    Quote Originally Posted by Lewismorgan View Post
    Im currently on 500 p day under my ltd company...

    why did the gov do this?

    with IR35 is it not a good thing to take on the position now?
    What I don't get is how you're running a Ltd Co and are clearly oblivious to all of this? As has been pointed out, this has been around for quite a while now. Jeezus...
    Clarity is everything

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