£1375 a day take-home pay
A £1375/day contract is worth about £302,500 a year over 220 billable days. Here is roughly what you keep under each IR35 status for 2025/26 — and you can fine-tune every assumption below.
| Day rate | £1,375 |
| Billable days assumed | 220 |
| Gross annual contract value | £302,500 |
| Take-home — inside IR35 (umbrella) | £150,412 |
| Take-home — outside IR35 (limited) | £156,566 |
| Difference | £6,153 |
At £1375/day, Outside IR35 (limited company) leaves you £6,153/year better off.
Adjust the numbers
Change days worked, salary, expenses or umbrella margin to match your situation.
Inside IR35 (umbrella)
£150,412/yr
You keep 50% of the contract value
Assignment rate£302,500
Umbrella margin-£1,150
Employer NI-£38,484
Apprenticeship levy-£1,308
Income tax (PAYE)-£103,904
Employee NI-£7,242
Take-home pay£150,412
Outside IR35 (limited company)
£156,566/yr
You keep 52% of the contract value
Company revenue£302,500
Director salary-£12,570
Employer NI on salary-£1,136
Corporation tax-£72,199
Dividend tax-£72,600
Income tax + NI on salary-£0
Take-home pay£156,566
Outside IR35 (limited company) leaves you £6,153/year better off at this rate.