Inside IR35 Limited Company Calculator (2026/27)
For contractors operating a personal service company where the engagement is caught by IR35 — the fee-payer applies PAYE, NIC and (indirectly) employer's NI before you're paid.
Limited company calculator
Inside IR35For contractors operating a personal service company where the engagement is caught by IR35. Your fee-payer applies PAYE-style treatment: employer's NI, apprenticeship levy and PAYE tax come out of the assignment rate before you see it. For outside-IR35 (dividends + corporation tax) use theLimited (Outside IR35)tab.
Configuration
You can enter a day rate, hourly rate or monthly rate. If you enter more than one, we'll prioritise monthly, then day rate, then hourly.
Default: 5
Default: 7.5
Contract days won't be uniform every month — use this to account for holidays, bench time and gaps between contracts. Typical: 46 weeks. At 5 days per week that's 230 billable days per year. Ignored when you enter a monthly rate.
Standard code (L): personal allowance £12,570.
You can have both an undergraduate plan and a postgraduate loan at the same time. Both will be deducted from your take-home pay.
Limited company take-home pay (Inside IR35)
Inside IR35 — PAYE-style estimate applied by the fee-payer.
Net take-home (monthly)
£6,006.03
Based on 5 days per week × 46 weeks worked (≈ 230 billable days per year).
- Gross pay (annual)
- £115,000.00
- PAYE income tax
- £32,982.00
- National Insurance
- £4,195.60
- Workplace pension (employee)
- £5,750.00
- Net take-home (annual)
- £72,072.40
These figures use PAYE-style rules for guidance only and are not an official HMRC calculation. This is an inside IR35 estimate.
Compare with other engagement types
Your assignment rate under all four engagement types.
Based on your current inputs above (5 days per week × 46 weeks), UK 2026/27 tax year. The Limited (Inside IR35) figure matches your take-home above.
- Highest net
Standard PAYE employment
PAYEAnnual take-home
£74,257.40
£6,188.12 / month
- Effective tax rate
- 35.4%
- vs. Standard PAYE
- Baseline
As if you were on payroll with the same annualised salary.
- Lowest net
Umbrella company
Inside IR35Annual take-home
£68,105.45
£5,675.45 / month
- Effective tax rate
- 40.8%
- vs. Standard PAYE
- −£6,151.95 vs PAYE
Includes £25/week margin, employer NI, apprenticeship levy — modelled like a real payslip.
Limited (Inside IR35)
Inside IR35Annual take-home
£74,257.40
£6,188.12 / month
- Effective tax rate
- 35.4%
- vs. Standard PAYE
- Baseline
PAYE-style deemed employment via the fee-payer.
Limited (Outside IR35)
Outside IR35Annual take-home
£73,262.89
£6,105.24 / month
- Effective tax rate
- 36.3%
- vs. Standard PAYE
- −£994.51 vs PAYE
NI-optimal salary + dividends, with corporation-tax marginal relief.
Gap between the best and worst option: £6,151.95 / year on the same working assumptions.
How this calculator models Inside IR35 income
Inside IR35 assignments through your limited company are treated as deemed employment income by the fee-payer (usually the client or agency). PAYE income tax and employee National Insurance are deducted from your assignment rate at source, just like standard payroll. This calculator models that pipeline against the 2026/27 UK tax bands, with configurable weeks worked per year and support for every UK student loan plan.
Frequently asked questions
How does IR35 affect my take-home pay?
When your engagement is caught by IR35, the fee-payer must apply PAYE and NIC to the assignment income as if you were an employee. The result is very similar to standard PAYE — same tax code, same bands, same NIC — but the contract still flows through your limited company on paper.
Should I use umbrella or my limited company inside IR35?
Financially the two are close, but umbrella arrangements also deduct the umbrella's margin from your assignment rate (typically £15–£30/week), so umbrella take-home is usually a bit lower than running the assignment inside IR35 through your own limited company. Some agencies mandate umbrella for inside-IR35 engagements though — check your contract.
Can I still take dividends from my limited company inside IR35?
Yes — but only from other, outside-IR35 income the company holds. The inside-IR35 assignment income has already been taxed as employment via the fee-payer, so paying it out as dividends would double-tax it. For a purely inside-IR35 contractor, umbrella and inside-IR35 PSC are effectively equivalent from a tax standpoint.
Compare other engagement types
Free UK PAYE calculator for the 2026/27 tax year. See your salary after income tax, National Insurance, pension, SIPP and student loan repayments. Supports multiple jobs and every UK student loan plan.
Umbrella company take-home calculator for the UK 2026/27 tax year. Models the full payslip reconciliation: apprenticeship levy, employer's NI, employer's pension, company margin — then PAYE, NIC and student loans on your wages.
Outside IR35 take-home calculator for the UK 2026/27 tax year. Models the full personal service company flow: director's salary, employer's NI, corporation tax (with marginal relief between £50k and £250k), dividends, and personal PAYE + dividend tax.