Another option is to construct your teams and shifts with a mix of on-staff and contract workers. But it’s not just huge international companies like Google that are cashing contract vs full time salary in on contract work. In fact, data from January 2019 shows that small businesses have been hiring significantly more contractors than they have full-time employees.
They only need you to be good at one of those things, but you have to be very good at that one thing. If you are working independently – it’s all up to you, and no one is there to influence your thought process or sway your opinions. This is a good and bad thing, as we all need to widen our personal perspectives, but it can also take you in directions you didn’t want to go. Decide if the compensation is worth what the commute does to your body and health.
Independent contractors are sometimes called 1099 workers since that’s the tax form they need to fill in. If you have a contract position, your employer doesn’t have an obligation to pay for your taxes, medicare, or social security. That’s why many companies prefer hiring contractors to recruiting employees – they cost less.
Other details included within a full-time contract include holiday entitlements, pension benefits, parental leave allowances, and details on Statutory Sick Pay (SSP). This all starts with understanding why you’re hiring and why you’re considering contract employees. If you’re interested in contracting just to save money, you may want to look beyond the immediate cost to more long-term factors.
As mentioned earlier, contractors, on the other hand, will need to take care of this on their own. However, once you reach a certain level of success and manage to make a name for yourself, you can expect to be able to accept or decline projects as you see fit. Individuals on a zero hour contract may also seek employment elsewhere. In fact, their contract would not be valid if it prevented them from looking for, or accepting, work from another employer. If there is a polarizing debate, and the most powerful person in the room picks a stance, everyone is more likely to side with him or her. Most people don’t want the social isolation that comes with being seen as difficult.
You may be able to fire some clients if the relationship is a bad match, but most of the time, you will need to accommodate their needs. Your livelihood depends on it, and there will not be a ‘middle-man’ communicating on your behalf. If you want to hone your craft or become completely proficient in one skill, you can’t divide your time between ten different ones. You will wear many more hats and juggle many varied responsibilities as a freelancer which can be a good and a bad thing.