1. Are freelancers better skilled than usual employees? This is an impossibly generalized question to answer. It completely varies on which specific freelancer

1. Are freelancers better skilled than usual employees? This is an impossibly generalized question to answer. It completely varies on which specific freelancer and employee you are talking about. I don't fathom there is a strong correlation between skill and freelance/full-time status. 3. Do freelancers cost less than an employee for a company, including taxes? Again, totally depends on the particular situation. How high are the freelancer rates? How expensive is a a full-time employee at that company (salary, benefits, etc.)? You'll be able to find both cases. In my experience, full-time employees are viewed as more cost effective "in the long run", especially when you take into account the difference in knowledge retention & continuity between employees and contractors. It really depends on the needs of the company.