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2025/26 Tax Year

£600 Day Rate Take Home Pay

Calculate your exact take-home pay on a £600/day contractor rate inside IR35 or through an umbrella company.

£74,442
Annual Take-Home
£6,203
Monthly Take-Home
£324
Effective Day Rate
54%
Retention Rate

£600/Day by Working Pattern

PatternContract ValueAnnual Take-HomeMonthlyRetention
3 days/week£82,800£50,669£4,22261%
4 days/week£110,400£64,104£5,34258%
5 days/week£138,000£74,442£6,20354%
5 days (48 weeks)£144,000£76,339£6,36253%

Based on standard umbrella arrangement: £25/week margin, 3% employer pension, 0.5% apprenticeship levy, no student loan.

Customise Your Calculation

Contract Details

Enter your IR35/umbrella contract details

£/day

46 weeks = 6 weeks holiday/gap

£

Typically £20-£35 per week

£72,248
Annual Take-Home
£6,021
Monthly Take-Home
£314
Effective Day Rate
52.4%
Retention Rate

Full Breakdown (2025/26)

Annual Contract Value£138,000

£600/day × 5 days × 46 weeks

Umbrella & Employer Costs

Umbrella Margin-£1,150
Apprenticeship Levy (0.5%)-£684
Employer NI (15.0%)-£17,109
Employer Pension (3%)-£3,572
Holiday Pay Accrual (12.07%)+£16,435
Gross Salary (for PAYE)£115,485

Your Deductions (PAYE)

Income Tax-£33,258
Employee NI-£4,205
Employee Pension (5%)-£5,774
Annual Take-Home Pay£72,248
Monthly Take-Home£6,021

Understanding IR35 & Umbrella Companies

  • Inside IR35: You're treated as an employee for tax purposes
  • Employer NI: Comes out of your contract rate, not paid on top
  • Holiday Pay: Accrued at 12.07% (5.6 weeks ÷ 46.4 working weeks)
  • Umbrella Margin: Typically £20-35/week for admin and payroll
  • Apprenticeship Levy: 0.5% for umbrellas with pay bill over £3m

Frequently Asked Questions

What is the take home pay on a £600 day rate?

On a £600/day rate working 5 days a week for 46 weeks (inside IR35 or umbrella), your approximate take-home pay is £74,442 per year, or £6,203 per month. Your effective day rate after all deductions is approximately £324.

How much tax do I pay on £600 day rate?

On a £600/day rate (5 days, 46 weeks), you would pay approximately £36,723 in income tax and £4,320 in National Insurance. Additional deductions include employer NI, umbrella margin, and pension contributions which come out of your contract rate.

What percentage do I keep on a £600 day rate inside IR35?

On a £600/day rate inside IR35, you typically retain around 54% of your contract value as take-home pay. This accounts for umbrella margin, employer NI (15%), employer pension (3%), income tax, and employee NI.