Reply to: Realistic contract equivalent to £~30k salary package?

[gingerjedi]

I suppose my main remaining question then, is what's a fair period to expect not to be able to find a contract? Based on some sweeping generalisations and overly rounded sums, if I can find work an average of 70-75% of the time then I can't see how I'd end up any worse off, before I've even claimed back any expenses. Is that a fair percentage?

My personal experience over the last 8 years ranges from 95% in good times to 5% in bad, I've had two gigs go t*ts up within 2 weeks of starting this year.

It's not a good time unless you can afford for that sort of eventuality at a zero notice period.

[djp]

I suppose my main remaining question then, is what's a fair period to expect not to be able to find a contract? Based on some sweeping generalisations and overly rounded sums, if I can find work an average of 70-75% of the time then I can't see how I'd end up any worse off, before I've even claimed back any expenses. Is that a fair percentage?

[d000hg]

If you can't save anything at £200/day that means you're saying the equivalent of about £35k salary is your subsistence level (since we're talking earning level while working, not averaging out including benched times). That's quite high when most people earn less than that their whole life and still have to buy cars, pay off mortgages, etc. All those caviar omelettes and Cuban cigars

[gingerjedi]

Not sure of your circumstances, but my outgoings are pretty low and I wouldn't take a £150/day contract unless I had absolutely no other choice due to the fact I'd struggle to save up any money for the times when I'm not invoicing. In fact I'd probably go permie for a while if it ever got to that.

I'm currently in a permy position and to be honest in this climate I don't feel any safer than in contract, the difference here is I have absolutely no chance of saving any money should I be pushed.

Who's in the better position?

[Jaws]

Thanks, some good responses here. Basically it looks like I won't starve at £150-200 per day and there are contracts in my skillset for more than that, so this just might work!

Not sure of your circumstances, but my outgoings are pretty low and I wouldn't take a £150/day contract unless I had absolutely no other choice due to the fact I'd struggle to save up any money for the times when I'm not invoicing. In fact I'd probably go permie for a while if it ever got to that.

[djp]

Thanks, some good responses here. Basically it looks like I won't starve at £150-200 per day and there are contracts in my skillset for more than that, so this just might work!

[Scrag Meister]

Or you move to London and get a banking job at £450 a day, which is about 56 per hour.

[kaiser78]

Whatever...

Every penny helps !!

[malvolio]

I would suggest hourly rate *1200 is a more reflective comparison.

So £30 / hour would be equiv to £36k pa.

Whatever...

[kaiser78]

Or use the usual rule of thumb of £30k pa is the same take home as £30 an hour, assuming you work a full year.

I would suggest hourly rate *1200 is a more reflective comparison.

So £30 / hour would be equiv to £36k pa.

[d000hg]

Or use the usual rule of thumb of £30k pa is the same take home as £30 an hour, assuming you work a full year.

WHS. It's a pretty good indicator for a permie to contract.

It'll seem like you're raking it in, don't become complacent.

[Wanderer]

Or use the usual rule of thumb of £30k pa is the same take home as £30 an hour, assuming you work a full year.

WHS. It's a pretty good indicator for a permie to contract.

[malvolio]

...And double those figures to allow for time "On The Bench". Seriously.

Or use the usual rule of thumb of £30k pa is the same take home as £30 an hour, assuming you work a full year.

[nomadd]

Like for like according to a tool on another webstie, £144 per day outside of IR35 and £177 if you plan to be inside.....

...And double those figures to allow for time "On The Bench". Seriously.

[dynamicsaxcontractor]

I'm a SQL Server, VBA and reporting specialist analyst/developer, looking to move into contracting from a SQL analyst / scripting package of £26k basic plus 5% pension, full sick pay and 25 + all bank holidays.

I'm looking to know what contract rate would equate to this package, taking into account tax differences, no sick pay/holidays etc, with a realistic time between contracts? If I go for it I'll be taking the limited company route.

I know it's a tricky question to answer - a ballpark figure is all I'm asking for.

Like for like according to a tool on another webstie, £144 per day outside of IR35 and £177 if you plan to be inside.....