£525 a day take-home pay
A £525/day contract is worth about £115,500 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 | £525 |
| Billable days assumed | 220 |
| Gross annual contract value | £115,500 |
| Take-home — inside IR35 (umbrella) | £68,357 |
| Take-home — outside IR35 (limited) | £74,091 |
| Difference | £5,734 |
At £525/day, Outside IR35 (limited company) leaves you £5,734/year better off.
Adjust the numbers
Change days worked, salary, expenses or umbrella margin to match your situation.
Inside IR35 (umbrella)
£68,357/yr
You keep 59% of the contract value
Assignment rate£115,500
Umbrella margin-£1,150
Employer NI-£14,198
Apprenticeship levy-£498
Income tax (PAYE)-£27,293
Employee NI-£4,004
Take-home pay£68,357
Outside IR35 (limited company)
£74,091/yr
You keep 64% of the contract value
Company revenue£115,500
Director salary-£12,570
Employer NI on salary-£1,136
Corporation tax-£23,226
Dividend tax-£17,048
Income tax + NI on salary-£0
Take-home pay£74,091
Outside IR35 (limited company) leaves you £5,734/year better off at this rate.