2026-27 · IR35 Calculator
IR35 Take-Home Calculator
Compare your net pay inside vs outside IR35. See the real pound-for-pound cost of a status determination before accepting a contract.
Contract details
Typical: 220 days (5 weeks holiday)
Outside IR35
£67,565
Net take-home per year
Inside IR35
£67,977
Net take-home per year
Outside IR35 puts £412 more in your pocket per year
That is £34/month or 0.0% of revenue
Comparison breakdown
How it works
- 1
Outside IR35
Revenue flows into your company. You pay corporation tax on profits, then take a combination of salary and dividends. Employer NI applies on the salary.
- 2
Inside IR35
Your company receives the fee but it's treated as deemed employment income. Income tax and employee NI are deducted before payment. No dividend option.
- 3
The gap
Outside IR35 is typically more tax-efficient because dividends are taxed at lower rates than salary, and corporation tax is lower than income tax + NI on the same income.
- 4
Other factors
IR35 also affects employment rights, pension planning, and MTD obligations. Day rate negotiation to compensate for inside-IR35 status is common.
HMRC sources
Disclaimer: This is a simplified illustration. Actual inside-IR35 calculations depend on the specific contract, deemed payment calculations, and allowable deductions. Get professional advice before accepting or challenging a status determination.
FAQs
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