Reply to: Oh dear!

[MPwannadecentincome]

I didn't say I wasn't. I was just responding to the statement that was made about the advantage of being a permie. As a contractor, where an agreement exists, the client would also pay for travelling to locations other than the home "work" location. So the argument was a bit muted.

I stand corrected - good luck in finding another role...

[pmeswani]

Erm no....

Travel and Accommodation is in addition to the 5%....

Regardless of who is right, at the end of the day, the cost of taking the contract would have been higher than what I would be getting. There was no room for negotiation. End of story.

[dx4100]

The travel and hotel expenses would have to fall within 5% claimable otherwise you might as well just be a permy.

Maybe request that expenses (travel & hotel) are paid by the end client - Fujitsu or the Agency.

Erm no....

Travel and Accommodation is in addition to the 5%....

[s2budd]

The travel and hotel expenses would have to fall within 5% claimable otherwise you might as well just be a permy.

Maybe request that expenses (travel & hotel) are paid by the end client - Fujitsu or the Agency.

[dx4100]

Anyway, found out that the contract was still not IR35 compliant, even with all the special conditions. So walked away from it. The agency wasn't pleased. I'm not sure the client will be pleased either.

I am confused....

Travel and accommodation are allowable expenses... Surely travel isn't a issue to make the contract viable ?

[s2budd]

Bad luck. I was in the same position back in 2001.
The role was £25 per hour max, not a very interesting and away from home.

I priced out everything before taking the contract and thought that they would be no profit but that I would at least earn some money.

It was away from home and in outer West London. After a couple of months I found that the role was actually costing me more money than I was earning. It's the expenses that were killing me - hotel and train. In the end I walked and found another contract. I've never walked before but would again if in the same position. However I'm not sure though if I would still of won the next contract if I had been on the bench all of the time. Sometimes it's the act of being in a contract that makes you look more wanted by others.

If there is not much in it money wise then I would consider taking the role if the technical aspect will improve your CV. If there is nothing new to learn then I would request an IR35 contract and increase in the rate.

I think that there is quite a bit of end clients and Agents cutting the rates a bit too far and just trying it on.

Reference the "Unfortunately, it's either their contract or no contract. Like it or lump it scenario." bit. I don't agree. They wrote the contract so they can write another or send then a PCG one.
If they do not want to loose the contract then the agency will change the contract to reflect your concerns.



Good luck.

[pmeswani]

You could always issue them with a new contract which does pass IR35. There's alot to be said for having your own contracts & not using the clients...

Unfortunately, it's either their contract or no contract. Like it or lump it scenario.

[TheVoice]

You could always issue them with a new contract which does pass IR35. There's alot to be said for having your own contracts & not using the clients...

[pmeswani]

Anyway, found out that the contract was still not IR35 compliant, even with all the special conditions. So walked away from it. The agency wasn't pleased. I'm not sure the client will be pleased either.

[pmeswani]

I thought you were worried about paying for the accommodation yourself?

I didn't say I wasn't. I was just responding to the statement that was made about the advantage of being a permie. As a contractor, where an agreement exists, the client would also pay for travelling to locations other than the home "work" location. So the argument was a bit muted.

[MPwannadecentincome]

And the advantage of being a contractor is that I get my company to pay for my travel to the client site. Not many permie employees gets their travel to work paid for by their employer.

I thought you were worried about paying for the accommodation yourself?

[pmeswani]

And the advantage of a permie role is that when you have to travel it is paid for by the employer not from your gross salary.

And the advantage of being a contractor is that I get my company to pay for my travel to the client site. Not many permie employees gets their travel to work paid for by their employer.

[MPwannadecentincome]

With permie roles, I would restrict myself to where I will work (location wise). Also, I would set my salary expectations according to where the role is, and how much my outgoings will be.

And the advantage of a permie role is that when you have to travel it is paid for by the employer not from your gross salary.

[deckster]

the 5% that isn't tax deducted, won't cover a fraction of the costs. So explain it to me, please.

Travel and accommodation are allowable expenses under IR35. You can claim them in addition to the 5%.

[thunderlizard]

Are you willing to give me the few hundred quid?

If I thought your company was a sound and creditworty investment I would. So no

To be honest, regardless of my current financial situation, I am prepared to walk away from the contract if I don't get an IR35 friendly contract.

that is the first rule of negotiation. Never actually care about the outcome. Psychological edge guaranteed.