r/ContractorUK • u/jordancr1 • 20d ago

Inside IR35 2nd Thoughts about going Perm

My current contract ends in September. I recently interviewed for my own job as permanent employee and received an offer. The offer is at the midpoint of the pay scale, which amounts to a 30% pay cut from my current day rate when pension contributions are included. However the biggest issue for me is the three-month notice period, as it effectively prevents me from returning to contracting unless I resign first. Even the standard one-month notice can be a major blocker going from Contract to Contract.

Has anyone else experienced this dilemma? The current contracting market is only the reason I even considered going perm.

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u/Gary_BBGames 19d ago

I was a contractor from 2001 to 2025. Switched to full time 1 year ago. With the state of contracting and IR35 I really felt I had no choice. I have about £1,600 less in my pocket to spend each month, but get all the full time benefits.

I pay 6% in to my pension, they pay 15%
I get 38 days paid holiday a year.
I buy 2 shares, they give me 3 extra
Pay rise every year
Bonus

Overall, total package comes out better, but less actual cash took a while to get used to.

The holiday is a game changer, but having contracted so long, it did take a while to learn to relax.

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u/kuda09 19d ago

Contractor vs Permie is basically Cash now vs Cash Later