£200 a day take-home pay
A £200/day contract is worth about £44,000 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 | £200 |
| Billable days assumed | 220 |
| Gross annual contract value | £44,000 |
| Take-home — inside IR35 (umbrella) | £30,699 |
| Take-home — outside IR35 (limited) | £35,005 |
| Difference | £4,306 |
At £200/day, Outside IR35 (limited company) leaves you £4,306/year better off.
Adjust the numbers
Change days worked, salary, expenses or umbrella margin to match your situation.
Inside IR35 (umbrella)
£30,699/yr
You keep 70% of the contract value
Assignment rate£44,000
Umbrella margin-£1,150
Employer NI-£4,912
Apprenticeship levy-£189
Income tax (PAYE)-£5,036
Employee NI-£2,014
Take-home pay£30,699
Outside IR35 (limited company)
£35,005/yr
You keep 80% of the contract value
Company revenue£44,000
Director salary-£12,570
Employer NI on salary-£1,136
Corporation tax-£5,756
Dividend tax-£2,103
Income tax + NI on salary-£0
Take-home pay£35,005
Outside IR35 (limited company) leaves you £4,306/year better off at this rate.