Contrac in Public Sector Daily Rate + Expenses

[KnightTemplar]

Hi,
I have not seen any contract before where it pays a daily rate + expenses. I'll give you some close figures as an example £350 day rate + £150 expenses. Does this kind of contract fall under IR35 clause? I know it all depends on various factors outlined in the contract but why is it different to other contracts where they don't pay expenses part? What advantage to a public sector company to pay like this? Can't they pay £500 straight away? Please somebody advise.

Cheers

[Bellona]

I have rarely seen public sector roles being advertised like this. They usually have a fixed rate like private sector.
Did see one a couple of months ago that was based in one area but had semi-regular travel to another part of the country. That one had a daily rate, then + up to £150 pd expenses.
The expenses though would be paid in accordance with what was spent on the additional travel / overnight stay, not just an automatic £150 extra per day.

Check the role and travel requirements.

HTH

[KnightTemplar]

Thanks for your reply.

Yes, I know the expenses are not automatically or paid flat. But, will you be able to clarify my questions? Also, is there a likelihood of this contract being fallen into IR35 clause and I should be more wary about it?

[malvolio]

Thanks for your reply.

Yes, I know the expenses are not automatically or paid flat. But, will you be able to clarify my questions? Also, is there a likelihood of this contract being fallen into IR35 clause and I should be more wary about it?

Nothing to do with ir35 at all. Does that help? Perhaps some further reading on what IR35 is might help?

[KnightTemplar]

That sounds promising.

Thanks for your valuable advice.

[7specialgems]

I'm at a Public Sector client at the moment.

PMs are getting £600pd here and Developers about £400pd +/- £50 for skills and experience.

Never seen expenses tacked on the side like that before.

[Crazyhorse]

Hi,
I have not seen any contract before where it pays a daily rate + expenses. I'll give you some close figures as an example £350 day rate + £150 expenses. Does this kind of contract fall under IR35 clause? I know it all depends on various factors outlined in the contract but why is it different to other contracts where they don't pay expenses part? What advantage to a public sector company to pay like this? Can't they pay £500 straight away? Please somebody advise.

Cheers

If this is what i think it is (Edinburgh) the expenses re not per diem, you'll need receipts.

[torchsong]

If this is what i think it is (Edinburgh) the expenses re not per diem, you'll need receipts.

Agree with Crazyhorse. I think I know which one this is, the expenses are separate to help get the daily rate down. You will need receipts, it's not a per diem rate.