Originally posted by Consultantman
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Conversion to the dark side / perm salary calculations
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Make Mercia Great Again! -
They want to pay you 100k to work in a BAU change capacity. F*** me.
If you are planning to keep your company open then I do think IR35 should be a worry.
When you say dormant. I don't think you mean that. You mean just not trading. It's different. Just being a pedant there.
Rest of it seems like a plan.Last edited by northernladuk; 3 October 2019, 15:38.'CUK forum personality of 2011 - Winner - Yes really!!!!Comment
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Wow, £620pd going to £101k salary is an incredibly good conversion IMO! Got to wonder why you aren't already permie, as youre almost taking a hit being a contractor.
If using 220 days as the annualisation factor, then my permie-to-contract income hit would be 50%, rather than the 80% suggested above.Comment
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Good luck with it. Without knowing all the specifics of your situation, I'd lean heavily toward closing the Ltd, which once done almost certainly closes off any historical IR35 liability.Comment
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Originally posted by Consultantman View PostHi All
I didn't want to find myself in this situation but with a kid on the way we've decided it's best to take the bird in the hand for now at least for the better part of next year.
How does one go about calculating a reasonable figure from a contract rate (620£ per day for the last 4 years in my case ) to an acceptable figure on the salary side ?
The client is trying to push me to £101k salary but I can't help feel this is a huge cut to the knees. However I have got no arbitrary way of calculating what is fair. Does anyone have advice of what points to make when considering the circumstances around a perm off coming from a contract role ? I'm looking for some benchmarks to apply but falling short.
There is a fair market rate for contractors and there is a fair market rate for permanents. I don't think one has anything to do with the other. If 'fair' was your consideration, I'd look at market permanent rates for what you do in your industry.
Erm, and that's it really.Comment
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Originally posted by simes View PostApples and oranges.
There is a fair market rate for contractors and there is a fair market rate for permanents. I don't think one has anything to do with the other. If 'fair' was your consideration, I'd look at market permanent rates for what you do in your industry.
Erm, and that's it really.Comment
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