Insider IR35 Client cover the cost cost

[brucealmighty]

Hi All

The more I read about IR35 the more it becomes a bit more confusing.

I have been approached with 2 different roles (both 6 months and paying exact same day rate) £550

Role 1 is on a PAYE basis, where the client will cover the cost of the employer (NI, Client Pension contribution, Apprenticeship Levy) on top of the day rate.

Role 2 is on a contract basis, as of now it's deemed outside of IR35, but coming towards April, the circumstance could change and I also read in the clause, that if such change where to happen, then the client will make the appropriate deduction, meaning cutting into the day rate.

My inclination is that the second role is better mainly because everything is already stated and client is paying the cost.

Is this correct.

Ultimately I am just trying to figure which one is more financially viable.


Thanks in advance

[eek]

Don't you mean the first (PAYE) one not the second one

[malvolio]

£550 a day plus 15% or so costs covered against £550 a day to you less about 20% deductions that are not actually your liability?

Alternatively, the first company are being honest, the second have no idea what they're doing.

I know which I would prefer.

[northernladuk]

It's not a bad assumption that if the second client doesn't know what they are doing six weeks before the deadline then it's almost certainly going inside as is it the quickest way to remove the risk of them.

So look at both gigs as inside now and do the maths.