Up until now I have been a permanent employee and I am now interviewing for temp/contract roles. The agency is keen to know whether I wish to go PAYE or LTD.
So, I am trying to assess what is best for me. I have calculated as follows:
Assume: 40hrs/week. 50 weeks. No/Low expenses.
PAYE (£30/hr):
Gross: £60,000 p.a.
E'Ee NI: £4,003
E'Ee Tax: £15,346
Net: £40,652 (67%)
UMBRELLA (£33/hr):
Gross: £66,000 p.a.
E'Er NI: £6,783
E'Ee NI: £3,996
E'Ee Tax: £14,269
Net: £40,952
Less Fees: £800
= £40,152 (61%)
LTD (£33/hr):
Gross: £66,000 p.a.
Net: £54,380
Lees Fees: £1,140
= £53,240 (81%)
Please can you let me if these calculations look sensible.
It appears that the LTD route is significantly more lucrative.
Many Thanks.
So, I am trying to assess what is best for me. I have calculated as follows:
Assume: 40hrs/week. 50 weeks. No/Low expenses.
PAYE (£30/hr):
Gross: £60,000 p.a.
E'Ee NI: £4,003
E'Ee Tax: £15,346
Net: £40,652 (67%)
UMBRELLA (£33/hr):
Gross: £66,000 p.a.
E'Er NI: £6,783
E'Ee NI: £3,996
E'Ee Tax: £14,269
Net: £40,952
Less Fees: £800
= £40,152 (61%)
LTD (£33/hr):
Gross: £66,000 p.a.
Net: £54,380
Lees Fees: £1,140
= £53,240 (81%)
Please can you let me if these calculations look sensible.
It appears that the LTD route is significantly more lucrative.
Many Thanks.
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