Shameless newbie questions - help appreciated

[cook]

Hello all.

I have been ploughing through the bulletin boards and was hoping that I could benefit from your wisdom and experience (flattery will get you everywhere)...

I would be grateful for some thoughts on the following questions:

1. Do you find that you can successfully insist on an hourly (rather than daily) rate? I am concerned about getting a daily rate and then being expected to work obscene hours.
2. If you are on a daily rate, do you insist on fixing the number of weekly hours in your contract? How strictly do you stick to the weekly hours in your contract - e.g. what if they want you to stay late to 'help out' - e.g. they are going live? What happens if, for example, you are contracting for a 40-hour week and end up working 60, if it is still the same number of days?
3. On the subject of contracts, who provides (a) the contract between you and the agent and (b) the contract between you and the client if you go direct? Is it you or the client / agent? Can you insist on using your own contract?
4. Which insurance do you actually need (as a developer)? Is it worth joining PCG and if so which level?

Any help appreciated...

[BrilloPad]

1. I work in the city and hourly rates are very rare - although 10 years ago they were common.
2. usually contract says 8 hours minimum - I have never had an issue with this as an average rather than a minimum. I bet some have.
3. In the city mostly the client/agency contract is used. Minor alterations are usually allowed. But if someone wants you enough, they might accept anything.
4. I never take insurance - but some do. I was a member of PCG, but no longer. PCG only provide insurance against investigations - not indemnity. But they give a discount on indemnity and I believe some join PCG just for this reason.

Best of luck

[cook]

Just to clarify, the types of insurance I was wondering about were:
- Professional indemnity - in case you get sued for negligent advice. I guess this could happen if you built a shopping basket application and it turned out not to be 100% secure?
- Professional expenses - for IR35 investigation
- PAYE audit cover
- Jury service cover
- Tax loss insurance
- Employers liability - if you use right of substitution in contracts

[cook]

Another really basic question - I guess the daily rate you negotiate is always exclusive of VAT - i.e. you always add VAT on at the time of invoicing?

[BrilloPad]

Another really basic question - I guess the daily rate you negotiate is always exclusive of VAT - i.e. you always add VAT on at the time of invoicing?

yes - always add VAT

[Sockpuppet]

Another really basic question - I guess the daily rate you negotiate is always exclusive of VAT - i.e. you always add VAT on at the time of invoicing?

Yep. Your working for people who are VAT registered so adding VAT won't phase them one bit.

[Sockpuppet]

Just to clarify, the types of insurance I was wondering about were:
- Professional indemnity - in case you get sued for negligent advice. I guess this could happen if you built a shopping basket application and it turned out not to be 100% secure?
- Professional expenses - for IR35 investigation
- PAYE audit cover
- Jury service cover
- Tax loss insurance
- Employers liability - if you use right of substitution in contracts

PI Insurance - we talked about this a few days ago and the opinion was that no-one has ever been sued for it.

For the rest checout PCGPlus membership....not sure what Tax Loss Insurance is though...

[cook]

Tax loss insurance reimburses for losses if, for example, you get caught by IR35. Seems distinctly OTT to me.

[Sockpuppet]

Tax loss insurance reimburses for losses if, for example, you get caught by IR35. Seems distinctly OTT to me.

Yeah. Just save the money you would have paid to the tax man if caught by IR35, get the contract checked at B&C.

[The Lone Gunman]

Remember.

You are in business, you do not have to accept any terms and conditions you do not like. If you want an hourly rate then ask for it. If one is not forthcoming then walk away.

The art is in the compromise.
My present client has a daily rate. they want a 38 hour wee which works out a 7.6 hours per day. I just invoice my hours divided by 7.6 ifh that works out at 6.2 days then that is what I invoice.

Dont get bullied into giving away work. If you are on a day rate the work a day and walk away.