Too late to start? And other questions...

[Stan.goodvibes]

I'm 45 and still contracting. Mind you I have the body of a 20 year old so people think I am a lot younger. And if you are only as old as the woman you feel that makes me 29 at the moment :-)

[milanbenes]

i
i cannot advise you either way, you need to do the maths and consider the risks

Milan.

[BrilloPad]

Hi,

I've had about enough of my current company. I'd like to know more about contracting, but I suspect my situation isn't normal:

1. I'm 38 years old - I guess one of the benefits of contracting is that you can build up a nice little nest egg and retire at 50. That's only 12 years away for me, not much chance to build a significant lump sum. So I'd have to work later than 50 - not a problem for me, but I rarely see older subcontractors. Is there a significant element of ageism to subcontracting?

2. The last five years have been spent in team and project management. I haven't exactly kept my techy skills (C++ development) up to date, but I reckon it's a bit like riding a bike if you have good code structure. I want to market myself as C++ and Java coder (not without some preparation on the Java side, I should add!), but realistically, will I get a contract without recent technical work?

3. Bearing in mind point 2 above, what sort of starting rate should I expect to get, and what would I be able to build up to after I'm back in the swing of things?

4. How easy is IR35 to avoid, realistically?

5. Any other advice, links etc?

Thanks
W

1. dont get divorced or have kids.
2. I suggest fluffing your CV.
3. go in low for first contract : but dont get ripped off by pimps
4. IR35 is virtually dead
5. dont believe everything you read on cuk. particularly in general. I think you would have got better replies from a post in business/contracts.

HTH

[mace]

1. I'm 38 years old - I guess one of the benefits of contracting is that you can build up a nice little nest egg and retire at 50. That's only 12 years away for me, not much chance to build a significant lump sum. So I'd have to work later than 50 - not a problem for me, but I rarely see older subcontractors. Is there a significant element of ageism to subcontracting?

It's easier to make money when you're young and single and not so daft as to spend it all. It becomes harder/impossible once you've got a wife and kids.
Assuming, you're in the latter category I wouldn't recommend contracting unless you get pushed from a permie position.

2. The last five years have been spent in team and project management. I haven't exactly kept my techy skills (C++ development) up to date, but I reckon it's a bit like riding a bike if you have good code structure. I want to market myself as C++ and Java coder (not without some preparation on the Java side, I should add!), but realistically, will I get a contract without recent technical work?

It's a pyramid. Most contracts like most permie jobs are for coders. There are contract PM positions but not many team management contracts apart from short term interims. The problem that you'll have is that the rates are good the higher up the pyramid you are, but the opportunities are rarer, so you'll find yourself with long periods on the bench. If you're willing to travel both in the UK and abroad then you can most likely stay in work on a near permanent basis, however. If you want to go back to coding, you'll need to keep your skills up to date and ageism will likely be a problem as most employers will consider a 25 year old to have a more flexible mind than a 40 year old.

3. Bearing in mind point 2 above, what sort of starting rate should I expect to get, and what would I be able to build up to after I'm back in the swing of things?

Depends on your skillset and what the market rates that as. The only way of telling is to get your CV out there and talk to a few agents. At the moment, PM roles can go as low as £200 per day (which is about £40k as a perm), so you'd be better off being perm in current climate. In the good times, the same role could pay £500, however.

4. How easy is IR35 to avoid, realistically?

Not many successful prosecutions but it's the fear factor more than anything. As another poster says, you can just put any excess money in to a pension, thus reducing your tax rate without worrying about it.

5. Any other advice, links etc?

Stick at being a perm until the job vacancies are on the way up again. Check out old.jobstats.co.uk to determine when that would be. I'd probably start thinking about it February next year now, as there's always a massive dip from mid-December to mid-January.