New to contract work..pls advise

[BrilloPad]

I secure the contract through an agency, and agency is offering me £260 per day rate. Don't know if £260 is with or without VAT?

Without.

Are you sure contracting is for you?

[SueEllen]

Just gone through IR35 checker and it says strongly failed and i am inside IR35. Does it mean i don't have ltd option?

It's not up to you personally to do an IR35 check it's up to the client to tell you if you fall within IR35. If they don't then you need to get someone like QDOS to confirm whether you do or not.

Also looked at Contracting Calculator - Results (inside IR35) and it seems its not worth doing contract work if inside IR35 as i can earn 53k in permanent role.

If the finances don't stack up and you are only doing it for the money then stay permanent.

[northernladuk]

Without.

Are you sure contracting is for you?

+1

This is like watching a car crash in slow motion.

[mudskipper]

Am I correct in saying this only applies to the public sector?

Yes.

[northernladuk]

Am I correct in saying this only applies to the public sector?

You asked for a summary right in the middle of the announcements and I'm knee deep in summaries since the budget finished let alone going out there to read the information on the contractor news sites and discussions on here. How can you not know this?

You just want your business feeding to you?

[theroyale]

Without.

Are you sure contracting is for you?

Surely you recognise that that's what he's trying to find out?

[PerfectStorm]

Thanks for the heads up. Does it happen a lot?

Yeah. There are differing levels of politeness available to clients.

Super nice: you finish at the end of your contract (3 months)
Nice: they serve you your week/month notice and you do that, but it's before the end of the contract:
Not so nice: Thanks for your help, please leave

It shouldn't put you off (if you're good, you'll stay as long as is practicable anyway) but make sure that as soon as you can you get 3+ months money behind you.

[garnet]

It's all change in the public sector from April '17.

So the key is IR35 - and given that it is public sector, it is probably something you need to talk to the client about, as they will be making the call going forward.

Excuse my ignorance, what is the change from April 2017?

[heyya99]

You asked for a summary right in the middle of the announcements and I'm knee deep in summaries since the budget finished let alone going out there to read the information on the contractor news sites and discussions on here. How can you not know this?

You just want your business feeding to you?

I am hungry.

[sdyson31]

I think first important thing is to find out if i am inside IR35. Do i need to ask Client about IR35 or an agent can answer this?

I have been told that agency will be paying me not client and they have offered me to use their umbrella company. I am keen on LTD company as i believe it can give you bit extra, agency has mentioned that umbrella rates are £250 and LTD rates are around £275. Should i negotiate more and can i directly ask the client what are they paying to agency?