£1425 a day take-home pay

A £1425/day contract is worth about £313,500 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 £1,425
Billable days assumed 220
Gross annual contract value £313,500
Take-home — inside IR35 (umbrella) £155,460
Take-home — outside IR35 (limited) £161,569
Difference £6,109

At £1425/day, Outside IR35 (limited company) leaves you £6,109/year better off.

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Change days worked, salary, expenses or umbrella margin to match your situation.

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Inside IR35 (umbrella)

£155,460/yr

You keep 50% of the contract value

Assignment rate£313,500
Umbrella margin-£1,150
Employer NI-£39,912
Apprenticeship levy-£1,355
Income tax (PAYE)-£108,190
Employee NI-£7,432
Take-home pay£155,460

Outside IR35 (limited company)

£161,569/yr

You keep 52% of the contract value

Company revenue£313,500
Director salary-£12,570
Employer NI on salary-£1,136
Corporation tax-£74,949
Dividend tax-£75,847
Income tax + NI on salary-£0
Take-home pay£161,569

Outside IR35 (limited company) leaves you £6,109/year better off at this rate.