Convert a contractor day rate into an equivalent permanent salary — and back — allowing for realistic billable days.
A contractor covers their own holiday, sick pay, pension and downtime, so 220 billable days (allowing for ~4 weeks off + gaps + bench time) is a realistic default. Indicative only — not financial advice.
Gangal handles day-rate and hourly workers, timesheets, margin and payroll in one platform.
Start Your Free TrialA £350/day contract sounds like a £91,000 salary if you naïvely multiply by 260 working days — but no contractor bills 260 days. Between annual leave, bank holidays, illness, and the inevitable gaps between contracts, most contractors bill somewhere around 210–230 days a year. Comparing a day rate to a salary honestly means using billable days, not calendar working days.
Use it both ways: contractors can see what salary a rate really equates to; employers and agencies can price a contract that competes fairly with a permanent offer.
Why not multiply by 260 days?
Because nobody bills every working day. Holiday, sickness and time between assignments all reduce billable days — 220 is a realistic planning figure.
Does this include IR35 / umbrella deductions?
No — this compares gross day-rate income to gross salary. Inside-IR35 or umbrella take-home will be lower after tax and umbrella costs; use a take-home calculator for net figures.