Contracting in Canada

[knight007]

I had an interesting chat with an agent over in Canada today. Thought I'd share the information here.
So basically, I applied for a couple of java development roles on Workopolis.ca.

After speaking to the agent today, the rates are around $65 CAD per hour. The market is also good....you could possibly negotiate to $70 CAD.

I also learnt something. The agent told me that if you're incorporated rather than a sole trader, she can get me more money. Not sure how being incorporated you qualify for a higher rate, but that's what I learnt.

[herman_g]

I immigrated here from Canada.

The ratio of contractors to permies is similar there as here.

Agencies will pay a little more if your incorporated as, otherwise, the need to pay the employees portion of CPP ( pension ) and UI ( Unemployment Insurance ). This was about 5-7 / hour back in '99 - probably slightly higher.

The big advantage of corp is you can run at a loss for the first 3 years. This means you end up with a credit in the first year you are "profitable". All contractor corps end up losing for the first 3 years.

I lived far better off 70 CAD / hour than it is possible to live off of 500 GBP / day over here. Plus there just is far more to do on weekends in a place like Toronto since everybody has cottages and boats up at the lakes - usually an hour or two North.

I lived on the continent for 7 years and in UK for 6. Sure do miss the lakes ( had one at the end of my street ). Pretty much just football and alcohol for leisure activities over here.

( Sorry to whinge - followed a Polish model over to here - life couldn't be better in that respect )!

[Zero Liability]

Overall, what is the job situation like for potential UK émigrés in Canada?

[knight007]

Overall, what is the job situation like for potential UK émigrés in Canada?

I think the situation is good. I don't think companies will sponsor you to come over to Canada to work. They could easily find the skills in Canada or across the border in USA.

[knight007]

I immigrated here from Canada.

The ratio of contractors to permies is similar there as here.

Agencies will pay a little more if your incorporated as, otherwise, the need to pay the employees portion of CPP ( pension ) and UI ( Unemployment Insurance ). This was about 5-7 / hour back in '99 - probably slightly higher.

The big advantage of corp is you can run at a loss for the first 3 years. This means you end up with a credit in the first year you are "profitable". All contractor corps end up losing for the first 3 years.

I lived far better off 70 CAD / hour than it is possible to live off of 500 GBP / day over here. Plus there just is far more to do on weekends in a place like Toronto since everybody has cottages and boats up at the lakes - usually an hour or two North.

I lived on the continent for 7 years and in UK for 6. Sure do miss the lakes ( had one at the end of my street ). Pretty much just football and alcohol for leisure activities over here.

( Sorry to whinge - followed a Polish model over to here - life couldn't be better in that respect )!

Thanks for that. That was some useful info and I totally understand the polish model taking priority.
Would you recommend incorporating for a 6 month contract? and is it a simple process like in the UK?
Do they have the equivalent of Umbrella companies over there where you can still claim expenses?

[herman_g]

Under the "Federal skilled worker" program it couldn't have been easier - PR status from the first day ( getting PR in the UK takes at least 5 years without marrying a local ). A lot of Bobs were getting this despite lack of the required "language skills".

The economy supported a lot of immigration under the program ( rates were not affected ) and then the Feds put a suspension on the program to assess the overall situation. It looks like the program has started up again - but I'm not sure. Too bad this countries got Vince Cable and his ICT buddies - could use some common sense on "skilled" immigration over here!

When I last visited Toronto a few years ago, I was shocked ( and a little depressed ) at the level of wealth most my friends had accumulated once the Canadian dollar climbed to par with the US one. A few drive hummers and I am in awe with the size of their houses ( one lives in a 5000 sf central Toronto mansion - he has his own lift )!

If you can immigrate and are not tied down to the EU ( as I am now ), try it - you won't regret it. Unless, of course, you enjoy such things as council tax and need the soccer and binge culture!

[herman_g]

Thanks for that. That was some useful info and I totally understand the polish model taking priority.
Would you recommend incorporating for a 6 month contract? and is it a simple process like in the UK?
Do they have the equivalent of Umbrella companies over there where you can still claim expenses?

Yes, I would recommend incorporating - no matter what the length of the contract.

Incorporation is just as simple however a bit more expensive ( about 500-600 CAD for somebody to do it for you or you could do it yourself for about 70 CAD ). When I did it, there was this unbelievable need to physically print the 5 or 6 pages of "articles of incorporation" out by hand! I did it myself - talk about writers cramp. That was the reason for the higher charge to get somebody else to do it.

I only knew one person ever to use an umbrella - it was dodgy as hell. There is no need to do such a thing as the tax rate is, overall, quite sweet. I could explain further in a PM if you want.

[v6g]

Thigns seem pretty good on the Pacific coast at the moment - depending on skillset. My place has numerous vacancies and is having trouble filling them.

[knight007]

Thigns seem pretty good on the Pacific coast at the moment - depending on skillset. My place has numerous vacancies and is having trouble filling them.

Where exactly are these vacancies, and for what roles?

[redgiant]

Yes, I would recommend incorporating - no matter what the length of the contract.

Incorporation is just as simple however a bit more expensive ( about 500-600 CAD for somebody to do it for you or you could do it yourself for about 70 CAD ) ...

That's the advice I got when I was over in Vancouver last year even if you are only going to be there for a few months. There is even a provincal business advice centre next to the Waterfront Skytrain station that can help you get started if you are looking in BC. All the guys I am working with over there contract through their own LTD.