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I've found the supposed certainty of perm work to be something of an illusion whereas the extra money in contracting is pretty real.
by crdoconnor 10y ago
I've found the supposed certainty of perm work to be something of an illusion whereas the extra money in contracting is pretty real.
- mdorazio 10y agoFair point, but in my experience the extra money is basically a wash when you factor in healthcare costs (I'm in the US), self-employment taxes, lack of employer-matched 401k, unpaid vacation, and the realistic utilization rate you can expect averaged out over several years. If you can keep your rate and utilization up you can definitely do better contracting, but a lot of people prefer the perm setup.
- crdoconnor 10y agoI'm in UK so healthcare isn't an issue. The pension contributions and paid vacation is nice but it doesn't make up for the difference in income. Also contracting means that you can essentially decide the holiday/income ratio yourself. One of the main benefits for me is that I usually get bored/sick of working at particular companies after an extended duration (the work can get repetitive). Contracting means you can job hop, gain a wider variety of experience and take extended holidays without stigma.
- flukus 10y agoI've found the extra money to be an illusion when you consider public holidays, sick days, holidays etc. I've found it to be a net negative when you consider time between contracts. Contracting really needs to be about double your salary to make it worth it.