Contract: As a contractor, you enter into a Contract for Services between your Limited Company and your client/agency, providing services as a consultant rather than being an employee.
Rate of Pay: Contractors typically receive a higher daily rate of pay compared to a fixed salary in permanent employment, resulting in a generally higher net take-home pay.
Holiday & Sick Pay: Your daily rate as a contractor includes holiday and sick pay entitlements, so it’s important to budget for these in your financial planning.
Business Costs: Unlike employees, contractors must cover the costs of training, business equipment, and other expenses, which are tax-deductible as allowable expenses.
