Inside vs Perm - opinion

[redman123]

Hi, just wanted some opinions on what is a better option?
An inside role at 350/400 vs a perm role at 40k/45k?

Happy to hear both sides of the argument. Thanks

[eek]

Hi, just wanted some opinions on what is a better option?
An inside role at 350/400 vs a perm role at 40k/45k?

Happy to hear both sides of the argument. Thanks

£350 a day is £1750 a week

less £25 umbrella margin Employer Ni & apprenticeship levy leaves you on £1520 or so a week (PAYE equivalent so after employer costs and ignoring holidays which is covered separately in the calculation below)..

Assuming you work 44 weeks a year that's £66,800 rather than £40k..

[northernladuk]

Hi, just wanted some opinions on what is a better option?
An inside role at 350/400 vs a perm role at 40k/45k?

Happy to hear both sides of the argument. Thanks

Better how? Cash, lifestyle, career, longevity? How on earth are we supposed to give you anything meaningful with such a basic question on two completely different options.

[eek]

Better how? Cash, lifestyle, career, longevity? How on earth are we supposed to give you anything meaningful with such a basic question on two completely different options.

Cash - more
Lifestyle - better (more cash)
Career - going temp can rapidly move you up the career ladder. outside of IT doing maternity cover is a great way of doing 10 years of career progress in 5 years provided you can move round to the better jobs.
Longevity - Perm in theory should be better but in reality? 65% more money covers a lot of downtime.

[WTFH]

£400 a day for a 1 year contract beats £40k a year in a permanent role for one year, no question, if take home is your only consideration.

But: what are your motivations?
Are the locations similar? How long is the commute? How much travel is involved?
Is £350/400 the advertised rate, or have you got an offer - if so, what is it? Equally with the perm role, are you just grabbing figures off a job website, or are these offers?
How long is the contract?
What perks come with the perm job? e.g. pension contribution, bonus, share options, insurance, private health, equipment/phone, etc

Ignoring all that, what answer do you want us to give you?

[malvolio]

To quote NLUK, "Ask your accountant for the best option". And his answer, like all good accountants will be "What do you want it to be?".

It's unanswerable by anyone but you, since only you know what you want. And as has been implied, money is not a motivator, it's a comfort factor. You can't treat it in isolation.

[northernladuk]

Cash - more
Lifestyle - better (more cash)
Career - going temp can rapidly move you up the career ladder. outside of IT doing maternity cover is a great way of doing 10 years of career progress in 5 years provided you can move round to the better jobs.
Longevity - Perm in theory should be better but in reality? 65% more money covers a lot of downtime.

And all that is one possibility. The inside gig is a temp gig. It ends in three months, the OP is facing bench time and all those suddenly reverse.

[redman123]

And all that is one possibility. The inside gig is a temp gig. It ends in three months, the OP is facing bench time and all those suddenly reverse.

thats the worry with all contracts, calcs can only assume full duration of work done

£350 a day is £1750 a week

less £25 umbrella margin Employer Ni & apprenticeship levy leaves you on £1520 or so a week.

Assuming you work 44 weeks a year that's £66,800 rather than £40k..

however the 66.8k will be taxed far greater right?
i am thinking post-tax comparison right now from a finance view, vs the benefits attached of a perm (i.e. 25 days leave in a perm role, assume half were taken for downtime in 6m role = less £4.5k gross pay)

[redman123]

And all that is one possibility. The inside gig is a temp gig. It ends in three months, the OP is facing bench time and all those suddenly reverse.

£400 a day for a 1 year contract beats £40k a year in a permanent role for one year, no question, if take home is your only consideration.

But: what are your motivations?
Are the locations similar? How long is the commute? How much travel is involved?
Is £350/400 the advertised rate, or have you got an offer - if so, what is it? Equally with the perm role, are you just grabbing figures off a job website, or are these offers?
How long is the contract?
What perks come with the perm job? e.g. pension contribution, bonus, share options, insurance, private health, equipment/phone, etc
Ignoring all that, what answer do you want us to give you?

But: what are your motivations?
Are the locations similar? How long is the commute? How much travel is involved?
-assume both are hybrid in office/remote
Is £350/400 the advertised rate, or have you got an offer - if so, what is it? Equally with the perm role, are you just grabbing figures off a job website, or are these offers?
How long is the contract?
-assume 6 months for inside and assume 40k-45k for basic offer (will aim to go higher if market permits)
What perks come with the perm job? e.g. pension contribution, bonus, share options, insurance, private health, equipment/phone, etc
-currently viewing whats out there, it various so need to consider this last but not least
Ignoring all that, what answer do you want us to give you?[/QUOTE]

[eek]

thats the worry with all contracts, calcs can only assume full duration of work done



however the 66.8k will be taxed far greater right?
i am thinking post-tax comparison right now from a finance view, vs the benefits attached of a perm (i.e. 25 days leave in a perm role, assume half were taken for downtime in 6m role = less £4.5k gross pay)

Nope that's PAYE equivalent, with 40 days removed from the year to cover holidays and sickness. The only thing differs is any employer pension contribution. - so that £40k may be £42.8k after a 7% employer pension contribution.


Going further 6 months (so 26 weeks, with 4 weeks off for 22 weeks of work) would give you £33.4k rather than £20k of salary.