Our IR35 Calculator is a quick and easy tool created for UK contractors and freelancers. It shows how the IR35 rules could impact your take-home pay, based on whether your contract is classed as inside or outside IR35. Simply enter your details to receive a clear breakdown of your estimated tax and income in both scenarios – helping you make more informed financial decisions.
The calculator also highlights the extra tax you may owe if your contract falls inside IR35, compared to working outside it. Get an instant, side-by-side view of your take-home pay and better understand the financial impact of your IR35 status.
Inside IR35
This calculation takes into account the PAYE income tax, National Insurance contributions, and other deductions typical for an employee. If your contract is considered inside IR35, you’ll see exactly how this affects your net pay.
Outside IR35
In this scenario, the calculator reflects the standard tax regime for contractors operating through their own limited company, factoring in corporation tax and dividend taxation. You’ll see a potential higher net income—assuming a genuine outside-IR35 working arrangement.
Compare Inside vs. Outside IR35 Income
By inputting details such as your contract rate, annual expenses, pension contributions, and salary, our calculator provides a side-by-side comparison, allowing you to clearly see the financial impact of being inside IR35 versus operating outside IR35. It highlights the difference in your take-home pay under each scenario.
Estimates Only:
Our calculator shows indicative figures based on the inputs you provide and assumed working patterns. Actual tax liabilities may vary with changing expenses, income levels, or legislative updates.
Not Formal Advice:
IR35 determination is nuanced. Always consult a qualified accountant, tax advisor, or specialist if you have concerns about compliance or contract wording.
Keep Up-to-Date:
Rates and thresholds for National Insurance, corporation tax, and income tax may change each tax year. Ensure the calculator or your inputs reflects current HMRC guidelines.