£450 a day take-home pay

A £450/day contract is worth about £99,000 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 £450
Billable days assumed 220
Gross annual contract value £99,000
Take-home — inside IR35 (umbrella) £60,071
Take-home — outside IR35 (limited) £66,056
Difference £5,985

At £450/day, Outside IR35 (limited company) leaves you £5,985/year better off.

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Inside IR35 (umbrella)

£60,071/yr

You keep 61% of the contract value

Assignment rate£99,000
Umbrella margin-£1,150
Employer NI-£12,055
Apprenticeship levy-£427
Income tax (PAYE)-£21,579
Employee NI-£3,718
Take-home pay£60,071

Outside IR35 (limited company)

£66,056/yr

You keep 67% of the contract value

Company revenue£99,000
Director salary-£12,570
Employer NI on salary-£1,136
Corporation tax-£18,853
Dividend tax-£12,955
Income tax + NI on salary-£0
Take-home pay£66,056

Outside IR35 (limited company) leaves you £5,985/year better off at this rate.