Perm to contract - what would you do?

[Les67]

Then I guess you know all about the dividend tax coming in next April, and you've already contributed to the potential travel and subsistence tax that's in the consultative stage?

I'm pleased that some people have done their research before making the move...

Thank you for your kind compliments. I'm flattered.

[DieScum]

If you walk there is a very low chance that they would sue you. Very low. They just wouldn't pay out any unpaid wages. They might not give you a reference (and if they are stupid they could even give you a bad one). If you're in a small industry word could get about though and that would be the killer.

If you've got plenty of other references then you're probably better off making the jump. Three months notice is very unusual to the point of being unreasonable. You did agree to it though.

[Les67]

1. Cojak is a pal'ess
2. Offering to contract for your ex employer is a big mistake and you are going to have to understand contracting a little better than that if you are going to survive.

Not at all. Should have mentioned, its common in my company, but due to the nature of the projects, there is no space at the moment, and I do know this is the case. I didn't want to burn bridges, because I would work with them again, on a contract basis (probably not now). They are a great company, just don't pay well, and you have to sit and listen to your contractor guy banging on about his earnings or flashing this and that. So, wasn't an attempt at being weak (though I probably risked IR35). Am hoping my previous outweighs any long term bugbear they might have.

[SueEllen]

Truthfully, yes. Relying on 20 years with long service, excellent reputation and a leap of faith. I've got the bug, and the pragmatic view that everyone needs to start somewhere . Plus, I keep looking at my perm daily rate, compared to contract daily rate - apples and pears I know, but....

Definitely not the same.

Have a pop over to general - There is on poster whose just got a contract after 10 months on the bench and another coming up to the 10 month mark.

[Les67]

If you've got plenty of other references then you're probably better off making the jump. Three months notice is very unusual to the point of being unreasonable. You did agree to it though.

Yes agree. I had no idea I would get the contracting bug at the time. Was a naïve call though.

[stek]

Truthfully, yes. Relying on 20 years with long service, excellent reputation and a leap of faith. I've got the bug, and the pragmatic view that everyone needs to start somewhere . Plus, I keep looking at my perm daily rate, compared to contract daily rate - apples and pears I know, but....

You might only work three months in a year - how does the rate look now divided by four?

[northernladuk]

If you walk there is a very low chance that they would sue you. Very low. They just wouldn't pay out any unpaid wages. They might not give you a reference (and if they are stupid they could even give you a bad one). If you're in a small industry word could get about though and that would be the killer.

If you've got plenty of other references then you're probably better off making the jump. Three months notice is very unusual to the point of being unreasonable. You did agree to it though.

Don't agree with much of this. If they are playing hardball with him that chance of action could increase. Also companies don't generally withold payment. That's illegal. Even in breach he is due money earned. Three months isn't unusual at all and isn't unreasonable. It's quite common in senior roles.

[northernladuk]

Not at all. Should have mentioned, its common in my company, but due to the nature of the projects, there is no space at the moment, and I do know this is the case. I didn't want to burn bridges, because I would work with them again, on a contract basis (probably not now). They are a great company, just don't pay well, and you have to sit and listen to your contractor guy banging on about his earnings or flashing this and that. So, wasn't an attempt at being weak (though I probably risked IR35). Am hoping my previous outweighs any long term bugbear they might have.

Doesn't matter how common it is, it's still a pretty daft thing to do and you would most certainly be inside IR35 as this is what it was designed for.

IMO in a couple of posts I can't help think you've got the wrong attitude to all this. It smacks of gung ho mercenary. That's not gonna work in contracting. Maybe some more research first as well and understand what we've just been hit with

[NibblyPig]

I would add that it can be quite nice contracting for the same company and staying inside IR35, if you charge the rate accordingly. It is likely to be much better than your salary, and it gives you a foot in the door.

I'm also amazed at any contract that exists for more than 2 days. My current contract was on jobserve and I'd interviewed and signed by lunch the next day. Even looking a week before my previous one ended was a week too early as they all wanted someone to start as close to the next day as possible.

[tractor]

...

Doesn't matter how common it is, it's still a pretty daft thing to do and you would most certainly be inside IR35 as this is what it was designed for.

IMO in a couple of posts I can't help think you've got the wrong attitude to all this. It smacks of gung ho mercenary. That's not gonna work in contracting. Maybe some more research first as well and understand what we've just been hit with

Plus the things that are often missed like how to run a company, fiscal responsibilities, finance, taxation, contracts, accounts, VAT, CT, IR35, Conduct Regs, Reporting requirements, Expenses etc ad nauseum.