State of the Market

[Protagoras]

I heard this strange notion that during the good times the big tech firms over hire and 'hoard' employees

It was common practice in the past.

[fiisch]

Happily chugging along in an outside IR35 contract on a good day rate on a large programme with a contract til February, and had the dreaded mid-term axe fall for the first time as a contractor. Two weeks notice at a difficult time of year for the entire programme team as the programme is put on indefinite pause (the usual changing of the guard at senior level and a shifting of change portfolio priorities).

For the first time, am seeing more Inside than Outside contracts, and recruiters are definitely more in fishing mode as opposed to offering up concrete roles - the usual "I have xxx role and am speaking to the hiring manager next week and will put your name forward"; "I have a role, send your CV over"... a very short time later "the role has been filled by an existing resource" etc. This is the first time I've struggled to secure interviews as a lifer working in a niche industry.

Have managed to secure an Inside role with a 20% uplift on my current rate, but is via a consultancy which I'm not a fan of and has an immediate notice on their side (accepting notice periods count for little as a contractor). Given personal circumstances, even with the uplift I think I'll be worse off net, but will keep me going.

All in all a bit depressing, but with a looming budget that promises to be a bit grim, softening insurance markets and Christmas coming is to be expected I guess....

I've done one inside contract before - I'm aware of the tax implications, but is there anything else I should consider given current ltd co (and 2 shareholders) with a healthy take of dividends so far this tax year outside of:

• Repay dividends as much as possible
• Max pension as much as possible on Inside gig
• Ensure sufficient capital in ltd co to meet ongoing liabilities (accountancy fees, EV leases, phones etc.)

[hobnob]

is there anything else I should consider given current ltd co (and 2 shareholders) with a healthy take of dividends so far this tax year outside of:

• Repay dividends as much as possible

Have you taken more dividends than profit? I.e. have you taken dividends based on your company's predicted income (until Feb)? If so, I believe you'd need to convert the excess dividends into a director loan (which fits in with what you said about repaying). However, it might be worth starting a separate thread about that.

[fiisch]

Have you taken more dividends than profit? I.e. have you taken dividends based on your company's predicted income (until Feb)? If so, I believe you'd need to convert the excess dividends into a director loan (which fits in with what you said about repaying). However, it might be worth starting a separate thread about that.

No - company has retained profits so can "afford" the dividends that we've taken to date and will have some retained profit.

However, my thought process was that by repaying (or converting to directors' loan) some of the dividends I have taken thus far, I'd be reducing the tax paid on my Inside gig, although now I type this out I'm second-guessing my logic (brain is fuzzy, long day of speaking to recruiters!).

[agentzero]

Just signed a three month extension in a job I'm hating ... not because of the work but because I get itchy feet and I've already been there two years.

Always been inside IR35 the whole contract, not fussed about that either way but the market seems dire enough for me to stay with the devil I know.

Infra PM - currently doing a very belated Win 11 upgrade and retiring a Citrix environment.

Sounds like EDF. I've heard from other contractors it's a bit of a nightmare there.

[ladymuck]

No - company has retained profits so can "afford" the dividends that we've taken to date and will have some retained profit.

However, my thought process was that by repaying (or converting to directors' loan) some of the dividends I have taken thus far, I'd be reducing the tax paid on my Inside gig, although now I type this out I'm second-guessing my logic (brain is fuzzy, long day of speaking to recruiters!).

I'd recommend a chat with your accountant about returning a properly declared and paid dividend. Not sure how that works.

If you can't return it then your next best option is to maximise your pension contributions from the inside gig (assuming you can afford to do that) to reduce the tax you pay on those earnings.

This is a discussion better located in the accounting / legal board as it'll get lost in the noise on this thread. However, with the forum being borked, moving the posts is never going to happen.

[quackhandle]

"A UK-based logistics software provider that develops and manages parcel return systems and supply chain platforms. Their software supports end-to-end logistics operations, including parcel collection, tracking, and integration with client systems. The company operates a 100-person IT hub in Romania, though recent offshore support has proven unreliable."

ROFLS.

qh

[oliverson]

Finally had a conversation with a real agent today and it was very productive, even if I don't end up getting an offer. It's given me fresh hope that if you can get your CV into the hands of the agent, instead of AI or screening systems sending it to /dev/null, then you stand a chance!

Also have another possibility with a previous client, so today, first day in ages, I have some real hope. Despite what some people (sadkingbilly) might think, I'm not a loser after all. I feel like Adrian in the original Rocky movie!!

[SchumiStars]

250miles this week on the bike
4 gym sessions

1 interview for next week.

[Dorkeaux]

250miles this week on the bike
4 gym sessions

1 interview for next week.

Good work, Schumster! And good luck.