Contractor or Perm?

[ruasonid]

There is a rough calculation of contract rate x 1000 to work out what salary the employer should be paying. Obviously in some cases this isn't true due to other factors, but someone offered a 50K perm salary shouldn't be on a contract rate of £280 a day.

That would be daily contract rate?

[doconline]

That would be daily contract rate?

Hourly rate x 1000. This is only a very rough guide and depends on the position / skill set / industry

[LondonManc]

I think I will/should go for perm.

48 weeks is ambitious for a contract.

8 public holidays a year, you'll no doubt want time off, equivalent to 25 dayish , that brings you down to 46 weeks. Thrown in a bit of sickness and that's 45. Then the unexpected stuff like budget issues, furlough and other items and it all leads to a lot lower starting figure, closer to 44 weeks, approx. 62k. It also depends what development you need as the company will provide training if you're perm and the countless other employee benefits that you'll get.

[MyUserName]

Remember that a day rate is only a day rate when you actually work that day.
Salary gets paid every month (or equivalent) even if you sit around doing nothing.

What happens in 6 months when you need a new gig and there is nothing nearby or at the same rate ... or just nothing?
Will your personal circumstances allow these regular and irregular changes? Mine didn't. My commute would have gone from 30 minutes to almost 2 hours and getting my kids to school and wife to work was suddenly a nightmare and it might have changed in 6 months time when everyone had got used to it.

This is why I left contracting and became a perm employee.

Fixed commute of 45 minutes each way everyday. The money is less but is more reliable and things are far less stressful. I don't have to keep up with latest developments from HMRC and the goverment's war on contractors, I don't need to duke it out with agents or HMRC etc. It is alll either irrelevant or taken care of for me by the payroll department.

All of these things cannot be computed by a money comparison tool but that does not matter because money is the wrong thing to be balancing. Look at how the lifestyle suits you, not how much money it looks like you can make. Some employers are reluctant to hire ex contractors as they (often correctly) assume you are just sheltering there until you can land a new contract so trying your hand at contracting is not a no brainer.

It is not a money thing, it is a life style change. If you have to ask then I would advise you to go perm.

[Oakleaf]

Remember that a day rate is only a day rate when you actually work that day.
Salary gets paid every month (or equivalent) even if you sit around doing nothing.

What happens in 6 months when you need a new gig and there is nothing nearby or at the same rate ... or just nothing?
Will your personal circumstances allow these regular and irregular changes? Mine didn't. My commute would have gone from 30 minutes to almost 2 hours and getting my kids to school and wife to work was suddenly a nightmare and it might have changed in 6 months time when everyone had got used to it.

This is why I left contracting and became a perm employee.

Fixed commute of 45 minutes each way everyday. The money is less but is more reliable and things are far less stressful. I don't have to keep up with latest developments from HMRC and the goverment's war on contractors, I don't need to duke it out with agents or HMRC etc. It is alll either irrelevant or taken care of for me by the payroll department.

All of these things cannot be computed by a money comparison tool but that does not matter because money is the wrong thing to be balancing. Look at how the lifestyle suits you, not how much money it looks like you can make. Some employers are reluctant to hire ex contractors as they (often correctly) assume you are just sheltering there until you can land a new contract so trying your hand at contracting is not a no brainer.

It is not a money thing, it is a life style change. If you have to ask then I would advise you to go perm.

Thank you so much. These words truly are from bottom of the heart.
I have followed my heart.