According to a new survey, half of the country’s IT contractors are able to earn more than the national average salary of a full-time IT professional within just 90 days of work.
The revelation comes on the back of new study carried out by Qdos Contractor and the latest Office for National Statistics (ONS) figures.
According to Qdos’s survey of contracting professionals, four in 10 contractors take home day-rates of at least £500. If they were to work on a contract for just 90 days – or the equivalent of 18 five-day weeks – they would earn £45,000, which is just above the ONS’s quoted average annual salary for a full-time IT professional (£44,665).
The largest proportion of those surveyed by Qdos – just over a third – charge between £501 and £700 on a daily basis, with the remaining 8 per cent quoting a day rate in excess of £701.
The majority of respondents to Qdos’ survey were those who worked in IT or digital-related roles.
Only 32 per cent earned less than £400 per day, with 28 per cent saying that they charged a daily rate of between £401 and £500.
Seb Malley, Qdos Contractor’s CEO, notes that though the figures collected centered around highly skilled and well qualified IT contractors, rather than the whole freelance market, the figures suggest that working as a contractor brings “the opportunity to earn more and the freedom to work how and when people choose”.
He added: “However, recent IR35 reform, and the prospect of further changes have left many contractors concerned over whether they will be inaccurately placed inside IR35 – a move which would see them pay similar taxes to employees, without receiving the same kind of benefits.
“To safeguard against this and protect the UK’s independent workforce – which together contributes over £119bn to the economy each year – it’s essential that each contractor engagement is assessed individually, and by experts.”