Ir35 calculator to know when its not worth it to work

[eek]

You need to be paid at least minimum wage (plus holiday pay at minimum wage) for your work - so the figures are wrong.

I can’t, however, to work out what the figure will be as it would depend on your hourly / daily rate

[cwah]

You need to be paid at least minimum wage (plus holiday pay at minimum wage) for your work - so the figures are wrong.

I can’t, however, to work out what the figure will be as it would depend on your hourly / daily rate

Yes this I know already. That's what I asked my umbrella company to pay me initially. I'll just get it up to £52.5k max income and bye bye.

Simple.

[Lance]

Yes this I know already. That's what I asked my umbrella company to pay me initially. I'll just get it up to £52.5k max income and bye bye.

Simple.

the tax tail wagging the dog...

I understand you might decide to take some time off, and that monetary milestone represents a decision point.
But not earning money because you don't want to pay tax is crazy.

[cwah]

the tax tail wagging the dog...

I understand you might decide to take some time off, and that monetary milestone represents a decision point.
But not earning money because you don't want to pay tax is crazy.

I'll just refuse the current contract unless they pay for employee national insurance.

Gives clarity on what to expect and how to negotiate.

At a 46% tax rate I just don't have enough motivation to work. I'll claim the furlough scheme instead. Or get benefit.

[Lance]

I'll just refuse the current contract unless they pay for employee national insurance.

Gives clarity on what to expect and how to negotiate.

At a 46% tax rate I just don't have enough motivation to work. I'll claim the furlough scheme instead. Or get benefit.

are you trolling?

[cwah]

are you trolling?

These were examples. I may not do that. My point from the start is that I'm not going to work for half salary.

[northernladuk]

These were examples. I may not do that. My point from the start is that I'm not going to work for half salary.

What about 53%?

[cwah]

What about 53%?

Around 66% would be a fair amount I'd say. This is incidentally the amount that should be given if I didn't have to pay employer national insurance.

I'll look toward negotiating that for my next contract. Or when my pension allowance is filled up if I'm still with the same contract.

[cwah]

Hello

I found out the previous calculation was wrong. Income tax and employee NI are calculated AFTER the employer NI has been computed. So the net tax rate is slightly lower:

Total income	Tax rate	Note
£9,564	0.50%	Apprenticeship levy
£9,564 to £12,571	26.30% 25%	National insurance + apprenticeship levy
£12,571 to £50,270	46.30% 42%	Basic rate income tax + national insurance + apprenticeship levy
£50,271 to £150,000	56.30% 50%	Higher rate income tax + national insurance + apprenticeship levy
At £150,000	61.30% 55%	Additional rate income tax + national insurance + apprenticeship levy

Still very bad. But better than originally thought.

[Lance]

Hello

I found out the previous calculation was wrong. Income tax and employee NI are calculated AFTER the employer NI has been computed. So the net tax rate is slightly lower:

Total income	Tax rate	Note
£9,564	0.50%	Apprenticeship levy
£9,564 to £12,571	26.30% 25%	National insurance + apprenticeship levy
£12,571 to £50,270	46.30% 42%	Basic rate income tax + national insurance + apprenticeship levy
£50,271 to £150,000	56.30% 50%	Higher rate income tax + national insurance + apprenticeship levy
over £150,000	61.30% 55%	Additional rate income tax + national insurance + apprenticeship levy

Still very bad. But better than originally thought.

you sure about that?
If you earn over £150k the marginal rate starts to go down. The figure you have is the tax AT £150k not over £150K.