Contract Rates/ Permie Salary and Math

[yeahyeahwhatever]

Hi all

i blew the dust off my calculator today to do some tax math and have come up with some interesting figures is you want to try them out and see if they are accurate


Based on a 48 week year and retainment of 67% of total turnover (that was my figure anyway) and an 18k Salary


If you want to see how much you would have to earn as a Permie do this: -

Day Rate x 254 = (equivalent permie salary)


If you want to see how much you will earn after tax in a year do this

Day Rate x 161 = (money in the bank after tax)


Worked for me using rates between 300-550 a day. Seems reasonably accurate.

J

[Sausage Surprise]

It's maths.....

[malvolio]

It's maths.....

Actuallly, it's arithmetic...

[jmo21]

what's wrong with contractorcalculator?

according to their figures, over a year I'd need £5k less as a perm than with your DR * 254 calc

they work towards a higher percentage, only 44 weeks a year, and considerably less of a salary than £18k.

[yeahyeahwhatever]

lol

oh dear, so forgot about contract calculator. . .0wns me

Ive always thought though, taking a salary of £4,020 is just asking to be investigated, and somewhat taking the p155

[blacjac]

lol

oh dear, so forgot about contract calculator. . .0wns me

Ive always thought though, taking a salary of £4,020 is just asking to be investigated, and somewhat taking the p155

[yeahyeahwhatever]

sorry, i dont want to take it off topic, i know its a complex subject. Its just what i want to do as i feel it helps the overall picture i want to project. SJD recommend a reasonable salary of say 9k, but im paranoid and new to all this stuff and its my first year . Maybe i will change another time.

[jmo21]

CC goes with £6k for its figures, and SJD recommend £11k for what it's worth

[yeahyeahwhatever]

thx, sorry i couldnt remember it being 11k , for some reason 9k stuck in my mind.

Still, 1500 a month is little enough to save having to do a PAYE return every month. You can do it every quarter.

Each to their own i guess.

This thread has run its course, im off to hide back under my rock

[BolshieBastard]

Working only 48 weeks in any 52!

I aint reducing the number of weeks worked for anyone! Currently I only have bank holidays off. Plenty of time for holidays between roles imo.