| Topic Name: |
Transition from salaried to contractor |
| Message Name: |
thanks for the advice |
| Date Posted: |
12/12/2006 |
| In Reply To: |
Upside:
1. You choose your clients; Bob Sutton's rule applies 100%
2. You choose your hours and time you wish to work or not work
3. You make more money in a few hours (if you are good) then some make in 2 months. AND you can write off expenses of commuting etc (but get tax advice in your country).
4. Happy clients like to give repeat work.
Downside:
1. You will not always work on your hands but you will always have bills; in fact be prepared in early days to spend 80% prospecting and selling and only 20% billing - upside is this teaches you a great deal of financial discipline
2. You need a high degree of self-motivation to keep working even when feeling lonely, and not to bunk work on a sunny day! (latter esp true if you live in olde or new England)
3. Many corporate job holders will look down their noses at you; dont get upset. You probably make more money than they do and you are nobody's slave, even if you dont have a secretary
4. A lot of paperwork - invoices, receipts and bills for book-keeping, proper filing etc. I suggest pay an accountant to do your taxes and bill your time instead.
Good luck
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| Message: |
Thanks for the advice tech_invest. If you don??t mind me asking, where do you live and what do you do? I am actually a project manager in Atlanta for a large bank based out of here. I couldn??t agree with you more about what you said. Believe me, I have no problems with corporate job holders looking down at me knowing that I don??t have to answer to nobody but myself. And I??m not worried about the paperwork since I??m very anal when it comes to keeping records and the good thing is that I already have an accountant that prepares my taxes for me. I think being an independent contractor would also force me to do a better job on my personal budgeting. I already set a budget for myself but don??t always do the best job of sticking to it. But when you have a mortgage payment, car payment, child expenses, among other expenses you really better watch your money.
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