28th January 2009, 08:10 PM
Your unit will be charging clients about ?130 a day for your services then I reckon. I can't remember gross digger wages for London, but its a bit more, not a lot though. As Paul Belford says, the gross pay is normally about 50% of the day rate. The other 50% goes on their tax, NI, pension, loans, rent, tools, utilities, vehicles and of course non-project staff etc etc etc. It costs a lot to run a business, whether as a sole trader, or as a big unit.
I agree at first glance it could seem like a rip off, but units don't actually make a huge profit on the day rate, and as we all know, keeping core staff going when there is no work is expensive, so they have to build up contingencies when they can.
I agree at first glance it could seem like a rip off, but units don't actually make a huge profit on the day rate, and as we all know, keeping core staff going when there is no work is expensive, so they have to build up contingencies when they can.