Are you thinking about leaving behind the world of permanent employment to pursue a career as a contractor? If so, you’re not alone, as countless people make the switch every year and never look back.
The greater flexibility, increased earning potential and wider opportunities for skill development are just some of the reasons that so many people are choosing to go down the contracting route.
If you are already contracting you’ll need a good accountant in your corner. An award-winning accountant leads the team at Integro Accounting and we have a wealth of experience in managing the accountancy affairs of contractors just like you. To find out more about our fixed fee service call us on 01525 303984.
Financial benefits of Contracting
The primary reason that people leave the world of permanent work for contracting is greater financial rewards, so it makes sense for us to start here.
- As expert “hired guns” brought in for a particular project, contractors often command much higher pay rates than their permanent colleagues.
- A contractor working through a limited company has a typical take home pay of between 75% and 80% of their invoice value.
- Contractors can offset their expenses against revenue to ultimately lower their overall tax liability – you only pay tax on your profits.
- Limited companies have far greater tax planning opportunities and a good accountant will be able to help you make the most of these.
- If you work through a limited company you’ll be able to pay yourself through dividends, which don’t attract National Insurance.
The Flexibility of Contracting
When long-term contractors are asked what they love about contracting, this is the number one answer. You have clients, rather than managers or employers, and this leads to very different working relationships. This can be extremely satisfying and it comes hand in hand with far greater flexibility and control.
- You choose the hours you work
- Changing contracts can be far easier than changing jobs
- You have control over the rates you charge
- You can take holiday when you wish.
- Contract roles ultimately give you far greater flexibility when it comes to negotiating working conditions.
Opportunities for skill development
Second only to flexibility and autonomy, contractors love the variety of their working lives. Working on many different contracts, for many different clients, gives you development opportunities that are not available to employees.
- Working in a range of different companies gives you the chance to expand your CV and get a feel for how different people work.
- Nothing beats learning on the job and as you’ll be working in a variety of situations you’ll become a well-rounded individual.
- You can attend courses and the cost of these will be offset against your revenue to ultimately reduce your tax bill.
- You’ll get the chance to test yourself in a range of sectors to widen your experience.
If you have any questions about contacting or would like to appoint us as your accountant, call our friendly experts on 01525 303984.
Why Integro Accounting?
Integro Accounting is the UK’s only specialist provider of fixed fee, limited company accountancy services for contractors, consultants and freelancers that was established to an award winning standard – our Practice Manager, Maria Hickmott FCCA, won The British Accountancy Awards’ ‘Accountant of the Year’ in 2011.
We were set up with the vision of providing a service that is the ultimate for the dynamic, busy professional of today in a language you understand.
Integro Accounting have designed a bespoke service for the contractor who is always on the go; never forgetting that one size will never fit all.
The relationship you have with your accountant is the most important factor in our service which is why we will always offer unlimited contact with your own personal accountant; whether that contact is via the phone, email or face to face.
We have our 3 offices located in London, the South-West and on the Bedfordshire and Buckinghamshire border. There are also meeting locations in many of the major cities and towns across the Home counties, South-West and South Wales, all conveniently placed so that you never have to travel far to meet your accountant.
If you have any questions about contracting or would like to find out more about how Integro Accounting can help you and business please call Christian on 01525 303984, email email@example.com or request a callback.