IT contractors are becoming more in demand and can earn a lot more than a regular employee.
If you’re thinking of starting out as an IT contractor or are in between jobs, working through an umbrella company could be a good solution for you. If you have been contracting for a while and earn more than £35,000 per year it may be worth starting your own limited company. Having your own company will give you the flexibility of being your own boss and freedom to pay yourself a combination of salary and dividends, which is a lot more tax efficient. You will also be able to claim back a range of expenses.
Want to know more about becoming an IT Contractor? Our sister company ClearSky Contractor Accounting can help set up your own limited company and give you all the advice you need.