Percentage Take Home

**Moscow Mule** · 12 January 2010, 09:32

Originally posted by Mike Hunt View Post

does anyone know approx what the average percentage take home of a limited company v an umbrella is...

i know its a pie in the sky question.....but surely there is some average or statistical median on it ?

much appreciated

Some anecdotal evidence:

65% and 55%.

Other than that, it really does depend on your expenses and other bits and bobs.

**gadgetman** · 12 January 2010, 09:39

Don't forget to factor in potential additional tax for anything over the 40% threshold. This will be accounted for at the end of the year and not appear in your 'take home' pay.

With this factored in I'd agree I used to average 65%.

I'm currently achieving 85% (totally legally) but am not now based or working in the UK.

Originally posted by Moscow Mule View Post

Some anecdotal evidence:

65% and 55%.

Other than that, it really does depend on your expenses and other bits and bobs.

**NorthWestPerm2Contr** · 12 January 2010, 10:08

That's 65% after all the expenses you claim?

So what would be the actual proportion of your income that you pay in tax?

**gadgetman** · 12 January 2010, 10:29

Never used to calculate that, just take home (inc expenses) as a percentage of gross.

**malvolio** · 12 January 2010, 12:48

You might find this a useful read...

<snip>

**kaiser78** · 12 January 2010, 12:56

Rule of thumb I recall reading somewhere on this site a go by is 65-70% for a limited company, 75% if you have a good accountant without taking the pi55.

**kingshuk** · 12 January 2010, 12:59

Originally posted by kaiser78 View Post

Rule of thumb I recall reading somewhere on this site a go by is 65-70% for a limited company, 75% if you have a good accountant without taking the pi55.

Whats a good accountant got to do with take home percentage?

**ratewhore** · 12 January 2010, 13:06

Originally posted by kingshuk View Post

Whats a good accountant got to do with take home percentage?

They can provide quality, proactive tax advice. Most contractor accountants don't do this, regardless of what they say...

**northernladuk** · 12 January 2010, 13:34

Originally posted by ratewhore View Post

They can provide quality, proactive tax advice. Most contractor accountants don't do this, regardless of what they say...

Totally WHS.

Percentage Take Home