Reply to post: Re: I love the spectacularly timing of it all

IR35 contractor tax reforms crawl closer to UK private sector with second consultation

LucreLout

Re: I love the spectacularly timing of it all

Finally, someone who’s talked some sense and understands why contractors are paid more than stale, stagnant perms

I'm not sure you are. Certainly not all of you.

After £120k ish, it makes progressively less sense to be a "highly skilled and flexible" temp, and rather more sense to continue as a highly skilled and flexible permie, with sick pay, holiday, training budget etc. Sure, there are downsides - the "discussing appraisals, going on courses, attending bi-weekly physio appointments for their bad back, and hosting coffee meetings" you mention, but I'm really rather well paid to put up with that sort of guff.

Now taxes... taxes are a drag, and continue to be much of the appeal of going contracting as far as I am concerned. I could slash my tax bill in half vs being a permie, but I'd have to live with more uncertainty and stress, and I'm just not wholly convinced its worth it.

There's also the question of why someone is a contractor. There's two types. The highly skilled & flexible sort, and those who simply couldn't hold down a permenant job - and there's rather more of the latter than the former. Most people in our industry are inept, which is why I interview about 20 candidates to find a good one, but that applies whether I'm hiring permies or contractors.

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