£25 an hour take-home pay, 2026/27

£25 an hour is £200 for an 8-hour day, or £46,000 over 1,840 hours a year. That leaves about £2,877 a month outside IR35 and £2,722 a month inside IR35.

Adjust for my hours

What £25 an hour comes to

Inside IR35 (umbrella)Outside IR35 (Ltd company)
Take-home per year£32,662£34,524
Per month£2,722£2,877
Per week£628£664
Per hour worked£17.75£18.76
Share of gross kept71.0%75.1%

Assumes 8 hours a day, 5 days a week for 46 weeks, no pension, umbrella margin not deducted, and for the Ltd company a £12,570 salary plus dividends with £2,000 of expenses.

Your details

£
£
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AssumptionsOutside IR35: Optimal Ltd Co structure, salary set to personal allowance (£12,570). All remaining profit taken as dividends.
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Outside IR35 saves you £1,862/yearThat's £155 more per month in your pocket
Inside IR35 (umbrella)
£32,662
£2,722 per month
Tax burden: 29.0%
Gross income£46,000
Employer NI & levy−£5,524
Income tax−£5,581
Employee NI−£2,232
Take home£32,662
Outside IR35 (Ltd Co)· keeps more
£34,524
£2,877 per month
Tax burden: 24.9%
Gross revenue£46,000
Employer NI−£1,136
Expenses−£2,000
Corporation tax−£5,756
Dividend tax−£2,584
Take home£34,524
Annual gross
£46,000
Daily rate
£200
Working days/yr
230
IR35 contract reviewOutside IR35 is worth £1,862 more a year. Would your contract hold up if HMRC checked?Know your status before you sign. A professional review typically costs £99–£150 and gives you a defensible position with HMRC.Review my contract →
Estimates only. Inside IR35 assumes an umbrella company deducts employer NI and the apprenticeship levy, before its own margin. Outside assumes a £12,570 Ltd Co salary. Individual circumstances vary — consult a contractor accountant for personalised advice.

Other hourly rates