Contracting issue, client trying to treat me like an employee and to pay me less than

[northernladuk]

If you didn't get your contract checked how did you know you were outside at all?

[Chelseagirl]

If you didn't get your contract checked how did you know you were outside at all?

Who said I didn’t get my contract checked?

I got my contract checked and it falls outside of IR35. Its their practices that were not and which I tried to resist.

[PerfectStorm]

If you didn't get your contract checked how did you know you were outside at all?

After reading the write-ups on my last few checks, I might be doing the next one myself...

[Snarf]

Where did you get that from? Seems a bit hard to believe.

All I can find is a calculator on the Crunch site which says otherwise
https://www.crunch.co.uk/knowledge/day-rate-calculator/

It cant be right, thats less than £1 above national minimum wage, for context Aldi pays more for you to stack shelves. Until I see some data to back the claim up Im not believing a word of it!

[Snarf]

IMO the CRSE survey is tulip.

It states that the hourly earnings of "IT and Related Professions" is the same as "Cleaners" and that builders earn more than IT professionals!

If that was truly the case and the average IT contractor earned £7.80 there wouldn't be a whole industry of recruitment "pimps" driving around in fast cars.

Ahh, "IT and Related Professions" That includes IT Support call centre staff - I can tell you from working in HR for a company who uses "contractors" to staff their help desk that these rates are extremely low... Lower than you'd get away with paying a permie. Thats going to bring down the average.

[psychocandy]

I don’t work in IT. My usual day rate is £250 but I accepted £170 because I didn’t want to get bored in January.

Anyway I’ve quit now and have other clients to cater to who don’t feel like they own me.

Fair play well done for sticking up for yourself....

[chopper]

I always thought there was some kind of rule of thumb, whereby if your daily rate is below a certain point then there is no point incorporating from a tax perspective, and you may as well use an umbrella company as that would work out cheaper than accountancy fees.

And that £170 a day is below that level?

(But yes, the primary reason for us being contractors is because we've seen beyond the corporate bulltulip reviews, 1:1s and integrating with the team).

[northernladuk]

I always thought there was some kind of rule of thumb, whereby if your daily rate is below a certain point then there is no point incorporating from a tax perspective, and you may as well use an umbrella company as that would work out cheaper than accountancy fees.

And that £170 a day is below that level?

(But yes, the primary reason for us being contractors is because we've seen beyond the corporate bulltulip reviews, 1:1s and integrating with the team).

Yeah. It used to be around the 30k mark. Any less then umbrella was a more efficient choice. There isn't really a figure now as the amount of travel that can no longer be claimed makes an impact.

[v8gaz]

I mean he’s the Vice President of a company, surely he should know what that is?

American company - they hand out VP status to anyone, it's cheaper than a pay rise. Totally meaningless.

[NotAllThere]

I didn’t have to prove I was a contractor I was just explaining how IR35 works to them and how it limited my duties to what was written in the contract as opposed to what they were expecting (more work unrelated to the project I was assigned, filling in for missing employees, working on other projects not mentioned in the contract).

Exactly. You were on a contract for services, they tried to treat it as a contract of service.