Contract work

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Ancalagon

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Does anyone do contract work here?

What are your experiences? Are you paid per hour, or per month?

Do you juggle multiple clients, or just have one client?

Do you enjoy it?
 
Been contracting in IT since 1994. Get paid an hourly rate which gets invoiced end of each month. Typically, in my field, I am based at 1 client for x number of months. Yes, I do enjoy it, you have way more freedom and can distance yourself from office politics. There are also tax benefits.
 
Drifter said:
Been contracting in IT since 1994. Get paid an hourly rate which gets invoiced end of each month. Typically, in my field, I am based at 1 client for x number of months. Yes, I do enjoy it, you have way more freedom and can distance yourself from office politics. There are also tax benefits.
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Yes we know it can be done, but how about mentioning the dangers and pitfalls.
 
Koosi said:
Yes we know it can be done, but how about mentioning the dangers and pitfalls.
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Let me tell you this, there is no more security in a permanent position these days than in contracting. End of the day, if you perform, they will keep you on.
 
Drifter said:
Been contracting in IT since 1994. Get paid an hourly rate which gets invoiced end of each month. Typically, in my field, I am based at 1 client for x number of months. Yes, I do enjoy it, you have way more freedom and can distance yourself from office politics. There are also tax benefits.
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Thanks.

How long is your average contract, and how difficult do you find it to get new work?
 
Just started contracting last month, after 10 years or permanent jobs.
I'm based on one client and so far so good.
As you probably know, there are no benefits (medical, provident fund, etc).

I'm busy studying through UNISA and I do not have study leave. So that could be a challenge since it will be treated as unpaid leave.
 
Drifter said:
Been contracting in IT since 1994. Get paid an hourly rate which gets invoiced end of each month. Typically, in my field, I am based at 1 client for x number of months. Yes, I do enjoy it, you have way more freedom and can distance yourself from office politics. There are also tax benefits.
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The tax benefits are overstated. There is nothing in the tax laws that explicitly favors contracting. Business expenses are deductible regardless. At the end of the tax year, you are still liable for the same personal income tax.

Of course, its far easier to lie on your tax return and claim expenses as business which aren't really business. And to put personal expenses through a company and not disclose them as such. Thats not a tax benefit. Its called a tax dodge :)
 
Drifter said:
Let me tell you this, there is no more security in a permanent position these days than in contracting. End of the day, if you perform, they will keep you on.
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I am not asking about security, we know that its all the same regardless.

1) What do you do if your customer doesn't pay ?
2) What do you do if your customer nitpicks an invoice and decides to pay a lower rate ?
3) What do you have in place to ensure timelines are met and what do you do to avoid having to work all nighters?
4) What about intellectual property and NDAs and other legal matters?
 
Koosi said:
I am not asking about security, we know that its all the same regardless.

1) What do you do if your customer doesn't pay ?
2) What do you do if your customer nitpicks an invoice and decides to pay a lower rate ?
3) What do you have in place to ensure timelines are met and what do you do to avoid having to work all nighters?
4) What about intellectual property and NDAs and other legal matters?
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All of the above are still true for permanent staff.

1. What do you do if your employer doesn't pay you in time.
2. Same.
3. Same
4. Same

Your contracting contract should be the same as a perm staff except you get paid an hour at an agreed rate, mentioned on your contract and agree pay date.
 
Koosi said:
I am not asking about security, we know that its all the same regardless.

1) What do you do if your customer doesn't pay ?

I contract through a contracting house, and not as an independent, that has never happened to me.

2) What do you do if your customer nitpicks an invoice and decides to pay a lower rate ?

Never had that happen, there is a signed contract after all

3) What do you have in place to ensure timelines are met and what do you do to avoid having to work all nighters?

You do what the customer requires from you.

4) What about intellectual property and NDAs and other legal matters?

All source code belongs to the client.
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See ^^^
 
Perhaps an income protector type of cover would be something to consider for a contractor, may help with clients that don't pay on time etc.
 
Pho3nix said:
All of the above are still true for permanent staff.

1. What do you do if your employer doesn't pay you in time.
2. Same.
3. Same
4. Same

Your contracting contract should be the same as a perm staff except you get paid an hour at an agreed rate, mentioned on your contract and agree pay date.
Click to expand...

Contractor's contracts I have seen are VERY DIFFERENT. For a start there's no leave clauses.

I am asking fair questions here so I would appreciate some honest answers. The likelihood of an employer not paying you is slim, it has happened only once to me and I walked out never to return, in the end he had to pay a lot more than what he was supposed to pay me.
 
Koosi said:
Contractor's contracts I have seen are VERY DIFFERENT. For a start there's no leave clauses.

I am asking fair questions here so I would appreciate some honest answers. The likelihood of an employer not paying you is slim, it has happened only once to me and I walked out never to return, in the end he had to pay a lot more than what he was supposed to pay me.
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If you're contracted out to a client by a company they work out so that you get leave. That is how it will be for me as of next month. Also make sure you contract out to a reputable company. My contract I got is pretty similar to my existing permanent contract.
 
Koosi said:
Contractor's contracts I have seen are VERY DIFFERENT. For a start there's no leave clauses.

I am asking fair questions here so I would appreciate some honest answers. The likelihood of an employer not paying you is slim, it has happened only once to me and I walked out never to return, in the end he had to pay a lot more than what he was supposed to pay me.
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1. I contracted through a contracting house, and not as an independent, that has never happened to me. 2 of the guys I work with went independant and never had issues with getting paid. Corporate.
2. Signed contract states the rate you get paid and contracting house requires they sign to approve that you actually were at work for those hours or provided a product equal to the hours worked.
3. You do what the customer requires from you. If you are stuck doing things the day before, well that's your problem.
4. Contract states all work belongs to client.

As for no leave. Yes, you work per hour. If you don't show up, you don't get paid.
No bonuses but overtime is usually allowed VS when you are perm. Albeit, I know of a contracting house that pays out a bonus that is actually all your extra weeks. eg. July has 5 weeks in a billing period, you get paid for 4, remainder is saved for December.
No medical aid, you pay it all yourself.
If you go independent, you pay tax on it yourself.
No pension and you should preferably save the extra you make for the days you will be off ill.

Worked as a contractor for 2.5 years and seen perm staff get retrenched over and over again.

There really is no security. Whether you are perm or contracting.
 
semaphore said:
If you're contracted out to a client by a company they work out so that you get leave. That is how it will be for me as of next month. Also make sure you contract out to a reputable company. My contract I got is pretty similar to my existing permanent contract.
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But you aren't a contractor :p.
You are permanent working for a client.

^Funny enough, only time I didn't get paid on time was when I was working perm.
 
Fuma said:
I'm busy studying through UNISA and I do not have study leave. So that could be a challenge since it will be treated as unpaid leave.
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Better this way. Perm want $$$ if you fail and you can't leave if you pass.
 
Ancalagon said:
Does anyone do contract work here?

What are your experiences? Are you paid per hour, or per month?

Do you juggle multiple clients, or just have one client?

Do you enjoy it?
Click to expand...

I actually enjoyed contracting. Mucked with my personal growth plan but the $$$ were great and set me up for a great package when I eventually went perm.
I was being paid per hour.
Had another client part-time but needed approval from the business or rather I needed to let them know.
 
So side question to this how did you guys start doing contract instead of perm ? Approach your current employer ?
 
Thanks for answering the questions. Pity I had to ask twice.
 
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