£200 a day after tax in 2026/27

On a £200 day rate for 220 days a year you take home about £2,561 a month inside IR35 through an umbrella company, or £2,787 a month outside IR35 through your own limited company.

Inside IR35£2,561a month take-home
Outside IR35£2,787a month take-home
Difference£226a month

Where the money goes

Inside IR35 (umbrella)Outside IR35 (limited company)
Contract income£44,000£44,000
Umbrella margin or company costs−£1,100−£1,500
Employer NI and levy−£5,108−£1,136
Corporation Taxnone−£5,471
Income Tax or dividend tax−£5,044−£2,454
Employee National Insurance−£2,018none
Take-home a year£30,730£33,440
Take-home a month£2,561£2,787

Inside IR35 you keep 70% of what the client pays. Outside you keep 76%, assuming all profit is paid out as dividends. That gap is mostly the employer National Insurance, which inside IR35 comes out of your rate, and the lower tax on dividends.

If you work more or fewer days

Days a yearInside IR35 a monthOutside IR35 a month
180£2,156£2,305
200£2,358£2,546
220 (about 46 weeks)£2,561£2,787
240£2,763£3,028

Nearby day rates

Day rateInside IR35 a monthOutside IR35 a month
£200£2,561£2,787
£250£3,132£3,449
£300£3,627£4,037
£350£4,087£4,470

2026/27 rates, England, Wales or Northern Ireland, no pension, student loan or other income. Outside IR35 assumes a £12,570 director’s salary and all profit paid as dividends. Read how IR35 works on the IR35 calculator page.

Common questions

How much is £200 a day after tax inside IR35?

About £2,561 a month, or £30,730 a year, working 220 days through an umbrella company with a £25 weekly margin.

How much is £200 a day after tax outside IR35?

About £2,787 a month, or £33,440 a year, through a limited company paying a £12,570 salary and the rest as dividends.

What salary is £200 a day equal to?

Over 220 working days, £200 a day is £44,000 a year before costs. Inside IR35 that becomes a gross salary of about £37,792 once the umbrella has paid employer National Insurance and its margin.

Other day rates