Freelancers: Heroes or Villans?
Thursday, April 14th, 2011Although you call an employee as an independent contractor, or he has agreed to the agreement in a written contract, it does not mean that the employee is a consultant. The nature of the relationship involving the company and the individual requires to be understood by all parties to make sure there are no misunderstandings. This is likely to be about back paying government taxes, providing other benefits such as holiday pay, and even harsh financial penalty clauses.
Downsizing is a significant reality for almost all businesses in the current climate. In spite of headcount reduction, a company can still continue to prosper in the longterm.
Although contract personnel may very well appear to be a logical means to get work done, do think twice prior to engaging the services of those who are known as bounty-hunter contractors.
When a company pays for the services of a contractor, this would usually be a logical manner in which to get a project completed on schedule. Bringing in an individual that is specialised in dealing with a specific type of work means that they can concentrate their whole time on one piece of work without the interruptions of attempting to complete their regular day to day activites on top of a specially requested project.
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Working as a contractor has both positive sides and bad sides. You can provide yourself with the latitude to demand your very own operating conditions.
Some contractors work only 2 or 3 days each working week and commonly arrange to work from their home instead of going to an office. However, as a consultant you do not normally be given the numerous benfits which a salaried staff member would get given.
Things like holidays and sick pay are not included and therefore should you fall sick, you might find yourself lacking any source of revenue.
Experienced contractors are in a position to make more income than a salaried career worker. Consultant pay could be per day or per project so it can be a good method to rake in a significant lump sum in a short period of time.
A few people which work as fre lance consultants work flat out for 6 months per year and save as much as they can so as to go on a vacation for the remaining part of their time. I have encountered folk enjoying the joys of the tropics for the winter months and then coming to London to hole up in a sparse room in a shared flat so that they can generate enough cash for the rest of the year. It will probably not be the lifestyle for the long haul but it definitely has one or two advantages. To get more information on consultancy opportunities, take a look at contractor-accounts.com.
