Should I move to IT contracting?

​IT contracting can be a great option, if you enjoy working on projects, like independence, and are after an attractive hourly/daily rate.

So what is contracting and what are the benefits?

Many organisations choose to contract IT staff for particular projects, as they often only need a specific skill set or extra assistance for the duration of a particular project. Therefore, when you are an IT contractor, you work to contract terms, and/or to a set period of time. There are several key differences between contracting and going permanent, and a number of benefits you will receive as a contractor. These include:

• Variety – the opportunity to work on diverse projects and with an assortment of employers, cultures, industries and technologies
• Attractive hourly/daily rates – normally higher than permanent work (sometimes up to 40% higher)
• Flexibility
• Lifestyle
• Independence – you can be your own boss
• Networking – by moving companies and or departments you will meet new people and work in different environments.

What do I have to do to become an IT contractor?

As a contractor, you are essentially running your own company. You will need to comply with government regulations, and:

• Complete your own tax statements
• Have your own insurance
• Make your own super contributions.

If you want to contract but don't want the hassle of submitting tax, super payments, buying insurance or keeping on top of workplace reforms – we can help. For just 2.5% of your hourly or daily rate, as a PAYG contractor, we will look after everything on your behalf. We will give you weekly pay, organise your timesheets, complete your super requirements etc - just as if you were a permanent employee. 1% of the 2.5% fee is for Professional Indemnity and Public Liability insurance (known as PI/PL) that is mandatory in Australia, so effectively you are only paying a fee of 1.5%. We also charge this pre-tax, therefore your tax rate can become lower. You also have the option of choosing a 3rd party management company to take care of everything for you, however, normally their fees are approximately 7% of your hourly or daily rate.

What happens once the contract is over?

People love contracting as it is highly flexible. If you want a break or a holiday after your contract ends, then you can do so between projects. You can also join another project straight away – if this is your preferred option, we can help find you the right project to move on to.

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If you are curious to see what IT contracting roles visit our current open contract roles.