Interested in Contract Work

[chrisaxe21]

Thanks guys, that helps!

Would it be possible for you to break down that £5k please? That would be most helpful!

And as for getting paid 90 days after a contract ends, I think I'll take on SueEllen's advice and enquire before a contract is signed as to what the payment terms are.

Cheers!

Chris

[SueEllen]

Ok I will take this one

1. About 5k
2. Yes you only get paid 90 days after contract ends

Play nicely.

[stek]

I've looked into contract work simply as the pay is much better.


Chris

Wrong reason. Why do you think the pay is much better?

[TestMangler]

Thanks guys, that helps!

Would it be possible for you to break down that £5k please? That would be most helpful!

And as for getting paid 90 days after a contract ends, I think I'll take on SueEllen's advice and enquire before a contract is signed as to what the payment terms are.

Cheers!

Chris

Jeez, never thought I'd find myself being the sensible one here...

Company set up around £100. Accountancy services, some charge £100 + per month, payable from when you start using them, but there are other options. Contract payment terms vary from weekly invoice with seven day payment terms to monthly with 90 day payment terms and everything in between. Ask the agency before the put you forward for a gig what the payment terms are.

Simples.

[PerfectStorm]

Wrong reason. Why do you think the pay is much better?

The pay can absolutely be the reason

[tomtomagain]

Hi,

or do I simply appoint an accountant, explain I'll be getting my first pay in 1 month so I can pay for that setup then?

Cost for setting up a company are around £100 - £200.

My annual accountants bill is about £800. I could probably save a bit .. but am too lazy to shop around.

And I pay £20 per monthly for FreeAgent to do most of the work.


You will be entering a business relationship with your accountant and he'll expect you to pay him once he invoices you. Which will be immediately. Whether or not you have you any income ... that's not his problem.

[No2politics]

You can pay for all the set up costs from your personal account- keep receipts and then claim these as expenses from your business bank account once you have your first invoice paid.

[mudskipper]

Ok I will take this one

1. About 5k
2. Yes you only get paid 90 days after contract ends

I'll do it for 4.5K.

[Scruff]

It costs £15 to setup a company at Companies House online and takes 10 minutes. It's free to open a banking account in the Company's name.

That's it.

[BlasterBates]

The main expense you have to think about is travel and accommodation, £1000-2000 a month if you're not contracting around the corner. You will also need to think about time between contracts where you earn nothing.
Once you factor in those costs contracting will be less attractive. If you are in a sector such as banking concentrated in one city where you work as a permie, that is typically where you can really boost your income.