Inside IR35 vs Permanent Income

[siphr]

Hello,

Wondering if anybody could shed some light on this. If you had to choose between an inside ir35 contract and a permanent position, what would you choose? I mean is it even worth considering a contract if it is within IR35? Whats the point? I am reading bits like for a contract within ir35 one could end up paying more tax than if they were permie.

Thanks.

[northernladuk]

Hello,

Wondering if anybody could shed some light on this. If you had to choose between an inside ir35 contract and a permanent position, what would you choose? I mean is it even worth considering a contract if it is within IR35? Whats the point? I am reading bits like for a contract within ir35 one could end up paying more tax than if they were permie.

Thanks.

You realise you are on a contractor forum right? No one in their right mind is going to tell you to go permanent. If you can't answer that yourself then you really do not understand contracting. The money is only a small aspect. I don't even know where to start trying to answer this for you with the question being so flawed.

Actually, all that said.. Take the permie one.

[PTP]

Hello,

Wondering if anybody could shed some light on this. If you had to choose between an inside ir35 contract and a permanent position, what would you choose? I mean is it even worth considering a contract if it is within IR35? Whats the point? I am reading bits like for a contract within ir35 one could end up paying more tax than if they were permie.

Thanks.

Decent question. Take a look at... Why I quit contracting: the human impact of the IR35 changes

This paragraph sounds realistic. Although I'd by no means be making a loss, just not sure if I'd be making enough extra over permie for it to be worth the hassle of working longer hours and away from home when I've saved a decent enough stash of £ already.

“For Childs, who would often have to seek contract opportunities further afield, the prospect of operating inside of IR35 is not a viable one, due in large part to the withdrawal of relief on travel expenses.

[heyya99]

You realise you are on a contractor forum right? No one in their right mind is going to tell you to go permanent. If you can't answer that yourself then you really do not understand contracting. The money is only a small aspect. I don't even know where to start trying to answer this for you with the question being so flawed.

Actually, all that said.. Take the permie one.

Have you considered therapy?

[northernladuk]

Have you considered therapy?

To help me with my issues with your daft posts?

[pauldee]

I've never understood why IR35 is so terrifying? If the rate is good, and the extra tax means it's still good, why on earth would you not consider it?

[gables]

I've never understood why IR35 is so terrifying? If the rate is good, and the extra tax means it's still good, why on earth would you not consider it?

Indeed, it is just a factor to consider, but to discount a contract purely because of it I think is a mistake. I'm currently on a contract inside IR35, it's a very easy 20mile journey versus a more usual 55-60mile slow journey, and offers the opportunity to develop.

[Lockhouse]

After 30 years contracting I've got an offer on the table that almost matches what I'm getting on contract. I'm seriously considering it. In the old days I wouldn't have given it a thought but it's all getting too stressful. I'm tired of looking over my shoulder. The dividend tax has totally hacked me off as well. Im fed up with the continuing chipping away of everything that makes contracting worthwhile. What price freedom if you're skint and stressed?

[OneManBand]

I'd rather take a huge pay cut than take a permie job. I cannot go through performance appraisals, begging for holidays to be approved and "giving back to the community" ever again. No way. Just kill me now.

[siphr]

Basically this ....

After 30 years contracting I've got an offer on the table that almost matches what I'm getting on contract. I'm seriously considering it. In the old days I wouldn't have given it a thought but it's all getting too stressful. I'm tired of looking over my shoulder. The dividend tax has totally hacked me off as well. Im fed up with the continuing chipping away of everything that makes contracting worthwhile. What price freedom if you're skint and stressed?

... AND this ...

I'd rather take a huge pay cut than take a permie job. I cannot go through performance appraisals, begging for holidays to be approved and "giving back to the community" ever again. No way. Just kill me now.

I feel kind of unfortunate that I started perhaps late in contracting. Up here in Edinburgh the market is really dry and has been for a few months. My main reasons for switching to contracting were the nonsensical permie practices, meetings politics, appraisals etc. and for the first contract I had I decided I loved working, however, if there are no suitable contracts (be it due to brexit or IR35) I am beginning to feel there are little choices left