Multiple clients - one Public Sector (INSIDE), one Private (OUTSIDE) - worth it?

[Scoobos]

Hi all,

I've searched, got a zillion results but couldn't find this :

Anyone tried to run two contracts at the same time, one for an INSIDE IR35 contract and one for outside?

Just looking for confirmation really that my thinking is correct - that basically this isn't worth doing.

As IR35 contract doesnt go via the limited at all, but does confuse the PAYE aspect of the limited salary - it's probably a massive pain to try and run both a ltd on a private sector contract and go umbrella for the other?

Anyone tried to do this?

[Paralytic]

If you can do the work, the contracts allow it, and the remuneration is worth it, why wouldn't you do this? The additional complexity to your self-assessment is really quit small, and if too much for someone, can be offloaded to an accountant.

[LondonManc]

If you can do the work, the contracts allow it, and the remuneration is worth it, why wouldn't you do this? The additional complexity to your self-assessment is really quit small, and if too much for someone, can be offloaded to an accountant.

This is key, especially for your inside IR35 contract. They are often worded like contracts of employment.

Have a read through this thread - it has some interesting clauses that relate to your situation to look out for in the inside contract.

[jayn200]

It's not complicated. As long as your contracts both allow it.

More than likely you would only withdrawal a very small sum of money from your limited company for the year. Likely just the 2000 dividend allowance if you haven't used that elsewhere but of course it depends how long either contract will run and what else is going on with your finances so you obviously need to talk to an accountant about what is the most tax efficient way to get your money out.

Depending on your income tax strategy you might end up with less take home money for the year but can pack a lot of money into your LTD so it's worth it if you can handle the workload.

If at least one of the contracts is really easy and low maintenance and both are remote it's probably worth it. If they're both demanding or 1 or both require you to be in the office more then a day or 2 a week I wouldn't bother, you won't survive it.

[Old Greg]

It's not complicated. As long as your contracts both allow it.

More than likely you would only withdrawal a very small sum of money from your limited company for the year. Likely just the 2000 dividend allowance if you haven't used that elsewhere but of course it depends how long either contract will run and what else is going on with your finances so you obviously need to talk to an accountant about what is the most tax efficient way to get your money out.

Depending on your income tax strategy you might end up with less take home money for the year but can pack a lot of money into your LTD so it's worth it if you can handle the workload.

If at least one of the contracts is really easy and low maintenance and both are remote it's probably worth it. If they're both demanding or 1 or both require you to be in the office more then a day or 2 a week I wouldn't bother, you won't survive it.

Or put the Inside income into a pension.

[jayn200]

Or put the Inside income into a pension.

Yeah that would probably be better.