Hi, first timer here.
The client I am talking to (though an agent) has come back saying they are thinking about offering me a six month fixed term contract pro rata salary £60k (equates to £250 a day). I'd get sick pay/holidays as well. I'd be treated as an employee therefore taxed etc.
I've been told by the agent that the client would potentially move me into permanent employ at the end of the six months and taking the fixed term contract is the easiest way to do this. Obviously this ultimately means not doing contracting. The salary is about twice what I was on before redundancy so no bad thing there.
I don't understand why they don't just offer me a contract at day rate though. I'd be getting to take advantage of tax efficiency, albeit at the cost of no holidays/sick etc, but am not too bothered about that.
Is there generally a reason why a company would offer a fixed term contract like this instead of a day rate?
My prime concern is that after say six months in the fixed term contract I won't have built up enough of a financial cushion if the contract ends. If it was day rate around £350 then after 6 months the cushion would be much better and allow more flexibility.
Anyone got any advice on this?
Thanks in advance
The client I am talking to (though an agent) has come back saying they are thinking about offering me a six month fixed term contract pro rata salary £60k (equates to £250 a day). I'd get sick pay/holidays as well. I'd be treated as an employee therefore taxed etc.
I've been told by the agent that the client would potentially move me into permanent employ at the end of the six months and taking the fixed term contract is the easiest way to do this. Obviously this ultimately means not doing contracting. The salary is about twice what I was on before redundancy so no bad thing there.
I don't understand why they don't just offer me a contract at day rate though. I'd be getting to take advantage of tax efficiency, albeit at the cost of no holidays/sick etc, but am not too bothered about that.
Is there generally a reason why a company would offer a fixed term contract like this instead of a day rate?
My prime concern is that after say six months in the fixed term contract I won't have built up enough of a financial cushion if the contract ends. If it was day rate around £350 then after 6 months the cushion would be much better and allow more flexibility.
Anyone got any advice on this?
Thanks in advance
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