Salary to freelance comparison from www.marchmutual.com
•
0 likes•331 views
This document compares the earnings and tax implications of three contract roles - a Tech Director, Senior Designer, and Web Content Producer - working through different structures: as a PAYE employee, through an umbrella company, and as a freelancer. It shows that while the Tech Director earns the most at £97,750, their take home pay is highest at £67,074 working through an umbrella company due to lower taxes. The Senior Designer earns £66,700 but takes home £48,434 through an umbrella company. The Web Content Producer earns the least at £48,300 but still takes home £37,031 working as a freelancer.
Recommended
Recommended
More Related Content
Similar to Salary to freelance comparison from www.marchmutual.com
Similar to Salary to freelance comparison from www.marchmutual.com (20)
Recently uploaded
Recently uploaded (20)
Salary to freelance comparison from www.marchmutual.com
- 1. TECH DIRECTOR using services PAYE UMBRELLA FREELANCE TURNOVER NET PAY £97,750.00* £67,074.20 SALARY NET PAY NET PAY £65,000.00 £42,846.00 EARNINGS £97,750.00* £48,588.00 * £425/day for 230 days/year * £425/day for 230 days/year - 4.09% - 9.75% - 17.55% - 1.47% - 2.05% - 6.97% UMBRELLA COSTS EXPENSES 100% PAYE - 5.31% - 12.08% - 29.38% NATIONAL INSURANCE - 24.04% TRAVEL & LUNCHES - 3.08% EMPLOYEE NI EMPLOYER NI PAYE BASIC SALARY EXPENSES PERSONAL INCOME TAX CORPORATION TAX + 8.14% 100% 100% 68.61% 49.71% SALARY NET PAY EARNINGS NET PAY TURNOVER NET PAY 65.91% SENIOR DESIGNER using services PAYE UMBRELLA FREELANCE TURNOVER NET PAY £66,700.00* £48,434.20 SALARY NET PAY NET PAY £48,000.00 £32,986.00 EARNINGS £66,700.00* £34,554.00 * £290/day for 230 days/year * £290/day for 230 days/year 100% 100% - 6.00% - 4.97% -16.41% - 2.16% UMBRELLA COSTS - 3.00% - 8.73% EXPENSES PAYE - 6.84% - 11.75% - 24.44% NATIONAL INSURANCE - 18.38% TRAVEL & LUNCHES - 4.17% EMPLOYEE NI EMPLOYER NI PAYE BASIC SALARY EXPENSES PERSONAL INCOME TAX CORPORATION TAX + 11.93% 100% SALARY NET PAY EARNINGS NET PAY TURNOVER 51.81% 72.61% 68.72% NET PAY WEB CONTENT PRODUCER using services PAYE UMBRELLA FREELANCE TURNOVER NET PAY £48,300.00* £37,031.20 SALARY NET PAY NET PAY £34,000.00 £24,077.00 EARNINGS £48,300.00* £26,477.00 * £210/day for 230 days/year * £210/day for 230 days/year 100% 76.67% - 8.28% 0% -15.05% 70.82% 54.82% - 2.48% - 4.14% - 9.19% 100% UMBRELLA COSTS EXPENSES PAYE - 8.69% - 11.35% - 18.52% NATIONAL INSURANCE - 14.11% TRAVEL & LUNCHES - 5.88% EMPLOYEE NI EMPLOYER NI PAYE BASIC SALARY EXPENSES PERSONAL INCOME TAX CORPORATION TAX + 16.47% NET PAY TURNOVER 100% SALARY NET PAY EARNINGS NET PAY NOTES: Tax free code is 1000L; no student loan repayments due; freelance working year is based on 46 weeks, giving a 6 week holiday period (unpaid) ; PAYE net is adjusted for expenses which are included in Umbrella and Freelance. SOURCE: Cogs Agency’s Salary Benchmarking for London.