5 ms·

Become an independent consultant/contractor.

• Apreche 11y ago
  Does that come with health insurance and a 401k? I'm very risk averse.
  • mgadams3 11y ago
    No, you can usually increase your billable rate to make up for that difference. If for example your current salary would be $100k/2080 (work hours in a year) you'd be getting paid $48/hr. You'd likely set your contracting rate at at least $60/hr to make up for the difference or no PTO, insurance, 401k, etc.
    • jdmichal 11y ago
      Also in the US, tack on an additional 7.65% for Social Security and Medicare taxes that would normally be paid by the employer, which is now technically yourself.
      • azth 11y ago
        > Social Security and Medicare taxes Why do they show up as being deducted from your salary in your statements then?
        • mgadams3 11y ago
          Because as a W2 employee you pay half and your employer pays half. As a W9 employee (contractor), you pay both.
  • eschutte2 11y ago
    It does come with a 401k, and you buy your own health insurance.
    • kingnothing 11y ago
      Which isn't terribly different than being employed. Your employer probably pays 80% of your health insurance premium and you pay the rest. It's all just part of your comp package that you need to sort out if you decide to start a consulting business.
• darrenmc 11y ago
  In my experience I have found it more difficult to work less days and take holidays as a contractor. The company that is paying for your services expects complete short term dedication on delivering the project, and that is what you should provide. You can take longer breaks between contracts but again I have found that not to be the case as you always want to have more work lined up for a steady income stream.
  • osullivj 11y ago
    I can understand that. You do need leverage to negotiate such a deal - a niche skill, or familiarity with an existing codebase.