Financial Profile - Contractor

Your complete financial profile is below. We have split your profile into sections, to review any section, just expand that section by clicking the "+" expand buttons.

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Your Personal Income Summary

Your current net income per month is £2,618
This is 76% of your gross revenue.

Other Calculations: Try other rates with the Contracting Calculator. Find the rate to earn your desired income with the Target Income Calculator.

How Rate Changes Would Effect Your Income

If your rate increases/decreases by £1 per hour your net income would increase/decrease by £108 per month
If your rate increases/decreases by £5 per hour, your net income would increase/decrease by £543 per month.

Other Calculations: Compare two contract rates with the Contract Comparison Calculator.

Your Revenue & Profit Summary

Your gross revenue is £41,250
Deducting expenditure of £9,035 results in a profit of £32,214
This profit is 78% of your revenue.

Your Complete Tax Profile

Company taxes are 16% of revenue:
Employers NI = £35
Corporation Tax = £6,764

Personal taxes are 0.07% of revenue:
Dividend tax = £0
Employees NI = £30
PAYE = £0

Your IR35 Status & Issues

You are currently outside IR35 [Change to inside]
If you get caught by IR35, your monthly net income would decrease by £575 (21%) to £2,042
This decrease is equivalent to a current rate decrease of £4.68 (18%) to £20.

Other Calculations: For more details about the effects of IR35 use the IR35 Calculator. Compare taxes for inside/outside IR35 using the IR35 Taxes Calculator

Your Pension Options

The tax man will fund up to 20% of a pension for you!
You can efficiently contribute up to £300 per month into a pension, of which the tax man pays £63
For each £100 contributed, your take home pay only reduces by £79. The tax man pays the rest!

Other Calculations: For more details use the Contractor Pension Calculator. To discuss pension advantages with an advisor use the Pension Finder

Permanent Employment Options

If you decided to take a permanent role, you would need to command an annual gross salary of £42,744 in order to to earn the same as you currently do contracting.

Other Calculations: Try out other rates using the Contracting to Permanent Calculator. Calculate net income from a salary with the Permanent Salary Calculator

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