A day rate and an annual salary describe different things. A fair comparison needs realistic paid days, holiday treatment, duties, pension and the costs of getting to work.
IN PLAIN ENGLISH
Do not multiply a supply rate by every weekday in the year. Build a realistic range of paid days and compare the same kind of pay before considering benefits and costs.
Start with comparable figures
Use gross wages before your own tax and deductions. If one offer is an umbrella assignment rate, first ask for the gross-wage breakdown in PAYE or umbrella?. Record whether holiday pay is already included, added separately or paid later.
A salaried job may pay annual earnings in regular monthly instalments. Supply income may vary with bookings. Neither the number of calendar months nor a single busy week tells you how many paid days you will actually receive.
Use several scenarios
Here is an illustration, not a forecast or recommended rate. At £160 gross per paid day, 100 paid days would produce £16,000; 140 would produce £22,400; 180 would produce £28,800. These figures are before personal deductions and assume the same agreed treatment of holiday pay throughout.
Choose your own cautious, middle and busier scenarios. Allow for days you cannot work, school closures, cancellations and gaps between placements. Do not count holiday pay twice or describe a hoped-for number of bookings as guaranteed income.
Put costs and responsibilities beside the total
Record travel, parking, childcare linked to working days and any costs you actually expect to pay. These reduce money available to you even when they are not deductible for tax. This is a budgeting exercise, not a claim that a cost qualifies for tax relief.
Compare the working day too. Planning, marking, meetings and handover expectations can differ. Day to day versus long term helps you clarify the duties before judging a quote.
Compare benefits separately
Ask about pension contributions, holiday, sick pay and notice terms. Do not add an employer pension contribution to spendable wages. Teachers’ Pension and supply explains why the employer matters.
A contract governed by a particular teacher-pay framework may have its own salary or daily-pay calculation. That does not create one universal formula for all agency work across the UK. Ask which terms apply to the specific offer.
What this means for you
Make a one-page comparison with gross pay, realistic paid days, holiday basis, regular costs, responsibilities and benefits. Then consider whether uneven monthly income fits your household budget. The Pay Checker provides context from shared responses, not a promise of work or a contractual entitlement.
Frequently asked questions
Can I divide an annual salary by 195?
Only use a contractual divisor where the relevant employment terms provide for it. It is not a general way to predict an agency offer or annual supply earnings.
Does a higher day rate mean I am better off?
Not necessarily. A higher rate with fewer paid days, greater costs or different benefits may produce a different overall result. This is general budgeting guidance, not personal financial or tax advice.
Related guides
Sources and further reading
Last reviewed: 20 September 2026. Official guidance and individual arrangements can change.