From Permanent to Contractor for the same company IR35 From Permanent to Contractor for the same company IR35 - Page 3
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  1. #21

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    Thank you again for your help. I have decided taking this contract Inside IR35 and look for another one outside IR35...
    Once I get the new contract I will leave the company...


  2. #22

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    Quote Originally Posted by duckevlc View Post
    Thank you again for your help. I have decided taking this contract Inside IR35 and look for another one outside IR35...
    Once I get the new contract I will leave the company...

    Erm.. You already left the company as soon as you started contracting.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  3. #23

    More time posting than coding


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    Quote Originally Posted by b0redom View Post
    ...also if you resign you can be barred from income support for 26 weeks. Not a good position to be in if the contract falls through for whatever reason.

    </psychocandy>
    You can claim contributions based JSA.

  4. #24

    Contractor Among Contractors


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    Quote Originally Posted by northernladuk View Post
    Erm.. You already left the company as soon as you started contracting.
    Yes, according to an Employment Tribunal.

    No, according to HMRC.

  5. #25

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    Default Redundancy Imminent

    Hi there, I am just about to enter the scary world of not being permanently employed as I'm in the process of being made redundant due to a commercial factor (client pulled a significant volume product).

    Although I have been put at risk and have a 3 month notice period the 2 projects I am currently working are roughly 6 months from completion.

    The company is going to ask me to complete the projects (with very specific agreed deliverables) I'm not too keen on effectively having 6 months notice and working it all, when other colleagues will be on equivalent notice periods but will be gone by the end of the month. However I am keen to finish the jobs (credibility etc as positives to support me going forward) but it needs to be financially advantageous to me.

    What would the view of working my 3 months, then 3 months of specific contracted activities detailed with fixed milestones and end dates.

    From what i've read it doesn't look practical so what might other options be?

  6. #26

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    Quote Originally Posted by Leeoz View Post
    Hi there, I am just about to enter the scary world of not being permanently employed as I'm in the process of being made redundant due to a commercial factor (client pulled a significant volume product).

    Although I have been put at risk and have a 3 month notice period the 2 projects I am currently working are roughly 6 months from completion.

    The company is going to ask me to complete the projects (with very specific agreed deliverables) I'm not too keen on effectively having 6 months notice and working it all, when other colleagues will be on equivalent notice periods but will be gone by the end of the month. However I am keen to finish the jobs (credibility etc as positives to support me going forward) but it needs to be financially advantageous to me.

    What would the view of working my 3 months, then 3 months of specific contracted activities detailed with fixed milestones and end dates.

    From what i've read it doesn't look practical so what might other options be?
    Agree a fixed price for the work.

    If that's not viable, Friday to Monday perm to contractor is not automatically inside IR35. Follow the usual guidance, get a statement of work, use a good contract template, get insurance and make the cultural shift to start acting as a business - stop going to permie meetings etc.
    Quote Originally Posted by Bean
    I admit that I'm a lazy lying cretin, but so what?
    25 June 2018

  7. #27

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    3 month notice period - what penalty is written into your contract if you leave tomorrow ?




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  8. #28

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    Quote Originally Posted by Old Greg View Post
    Agree a fixed price for the work.
    This. Doesn't matter if it's a former employer if you agree a fixed price, it will be easy to argue you are outside IR35 on a fixed price job.

    Your fixed price has to include the fact that they aren't paying National Insurance, holidays, sick pay, etc. It also has to cover you for risks:
    possible overruns in case the size of the job is underestimated, exposure to someone else messing up and leaving you stuck, spec-confusion, payment delays, etc. In a fixed price scenario all the risks transfer from the client to you. You need to assess what those risks are worth and include them in the price.

  9. #29

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    Quote Originally Posted by WordIsBond View Post
    This. Doesn't matter if it's a former employer if you agree a fixed price, it will be easy to argue you are outside IR35 on a fixed price job.

    Your fixed price has to include the fact that they aren't paying National Insurance, holidays, sick pay, etc. It also has to cover you for risks:
    possible overruns in case the size of the job is underestimated, exposure to someone else messing up and leaving you stuck, spec-confusion, payment delays, etc. In a fixed price scenario all the risks transfer from the client to you. You need to assess what those risks are worth and include them in the price.
    The risk can be mitigated to am extent by including some text around pricing of change requests.
    Quote Originally Posted by Bean
    I admit that I'm a lazy lying cretin, but so what?
    25 June 2018

  10. #30

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    Default Thanks for the advice

    Thanks to everyone for the advice, things have moved on a little. they have confirmed they aren't able to agree the contract route to finish the 2 projects due to pension and PAYE 'issues'. I am waiting on them coming back with a settlement agreement to extend my notice period, at least this way I avoid the risks of a fixed price contract and can twist their arm for an 'enhanced' redundancy package. However i will be prepared to effect an immediate exit, collect my redundancy and jump in to my new adventure!

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