Potentially going PAYE (short term) - rate breakdown Potentially going PAYE (short term) - rate breakdown - Page 6
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  1. #51

    Contractor Among Contractors


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    Quote Originally Posted by messymess View Post
    If hiring an inside Payroll consultant is going to cost my end client extra 300-400 a day then i am sure companies, agencies will try to find contractors who can work outside for less or try make an effort to release roles for affordable prices. Makes sense?
    Yes, it makes sense if hiring an inside Payroll consultant is going to cost your end client extra 300-400 a day but i simply don't think many people are in a position where they're not easily replaceable by another person who will work Inside at the lower rate or where the client can use cheaper offshore/onshored labour via an SI.

  2. #52

    More time posting than coding

    KinooOrKinog's Avatar
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    Quote Originally Posted by messymess View Post
    not trying to drive the conversation off-topic here. 100% i went in for the dosh, I also take the risk on me if a stupid pizza delivery guy on his overspeading moped rams into me whilst i am riding to work on my bike and i can't work for 2 weeks. That's what self-employment is about right? How can we make those independent decisions and take risks as we used to?

    The point i am trying to make is that if we all said "NO" to this and pushed for more day rates or atleast put that on the table, maybe not in your current role as we all have to secure a role in the interim but in your next role then the market will respond accordingly.

    If hiring an inside Payroll consultant is going to cost my end client extra 300-400 a day then i am sure companies, agencies will try to find contractors who can work outside for less or try make an effort to release roles for affordable prices. Makes sense?
    I wholeheartedly agree with what you're saying in that if people start taking the cr*ppy rates then it just drives the market down. Some of us will be in a better position than others to hold out but unfortunately not forever. Principles don't feed your family, sadly.
    If you don't have anything nice to say, say it sarcastically

  3. #53

    Still gathering requirements...


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    If you take on a contract that is inside IR35 and therefore go through an umbrella company instead of your own ltd co, is it true the take home pay is almost identical whichever umbrella company you go with, the difference being only what fee the umbrella company charges?

  4. #54

    bored now

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    Quote Originally Posted by smileyface View Post
    If you take on a contract that is inside IR35 and therefore go through an umbrella company instead of your own ltd co, is it true the take home pay is almost identical whichever umbrella company you go with, the difference being only what fee the umbrella company charges?
    Yes - the only difference should be the fee, pension contributions and how they handle retained holiday payments.
    merely at clientco for the entertainment

  5. #55

    Still gathering requirements...


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    Quote Originally Posted by eek View Post
    Yes - the only difference should be the fee, pension contributions and how they handle retained holiday payments.
    Thanks

  6. #56

    Fingers like lightning


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    Hi, just got this breakdown numbers for a PAYE contract


    Contractor Cost - £525.00
    ERS NIC 13.80% - £61.76
    Apprenticeship Levy 0.50% - £2.24
    Pension 3.00% - £13.43
    ----------------------------------------
    PAYE Rate incl Holiday - £447.57

    Holiday Pay 12.07% - £48.20
    ----------------------------------------
    Contractor PAYE Rate - £399.37



    What would be my net/take home pay then? I assume it's not going to be £399.37 as I can't see any employee NI in there.

  7. #57

    Should post faster


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    Quote Originally Posted by PCTNN View Post
    Hi, just got this breakdown numbers for a PAYE contract


    Contractor Cost - £525.00
    ERS NIC 13.80% - £61.76
    Apprenticeship Levy 0.50% - £2.24
    Pension 3.00% - £13.43
    ----------------------------------------
    PAYE Rate incl Holiday - £447.57

    Holiday Pay 12.07% - £48.20
    ----------------------------------------
    Contractor PAYE Rate - £399.37



    What would be my net/take home pay then? I assume it's not going to be £399.37 as I can't see any employee NI in there.
    Nor does it have PAYE in there either. To give you my details I put 17.5% into pension via salary sacrifice and my take home is as close to 50% of day rate that makes no difference. I also take my Holiday Pay as part of my Take Home.

    It can drift a little, if you have a week off you get an extra week of personal allowance to reduce the PAYE the next week.

  8. #58

    More time posting than coding


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    Mine worked out at 65% of contract a couple of years ago, same details but now works out about 58%. Mentioned on another page, usual is 53-54%

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