Introduction
During our careers, we’re all faced with a jobs contract while entering into any agreement or when hiring an employee. Signing poor contract jobs will definitely lead us to many doubts and regrets. Finding a good job is about the employer, the work you do and the contract. Many companies are hiring independent contractors instead of hiring employees. These independent contractors can possibly hold just about any open position either freelance positions or related contract jobs. Before you take into account any position for contract jobs, you need to know about few things.
History
As an employee, your federal, state, and local taxes come right out of your income. But during contract jobs, you have to pay these taxes on your own. It means that every salary you get will be bigger. But at the end of every quarter, you have to send some money to the government. But if you don’t pay these taxes, at the end of the year you could be looking at late fees and penalties. You also have to pay slightly more in contract jobs, since in a regular position your employer covers some of the tax costs.
Features
Mostly, contract jobs carry a non-competition clause, which means that you cannot complete any work for the opponent or competitor to the company. You should be careful and make sure that the contract position you take pays well enough to cover your bills, if it doesn’t, you might have a hard time finding other freelance work.
Most contract jobs also carry a non-disclosure agreement which protects the company. This policy states that you can’t comment on trade secrets, future plans or any other information that the company shares with you, even after when you are not working there anymore. Most companies are very strict about this policy, so be aware of non-disclosure agreements. Keep your comments and remarks to yourself, especially on sites related to social media.
Normally, full-time employees always get annual raises for doing a good job, but a contractor doesn't. A contractor can still ask for it, but it is less likely that they actually get one at least, after the renewal of contract after some renegotiation. Traditional employees also get incentives for health coverage and paid vacation days, but contractors are rarely offered benefits packages. When signing a contract job, be sure that the money you are being offered is enough for you that will make you happy for the entire duration of the project.
When the period for your contract job has ended, you might be politely asked to leave, even if you have done a great job. This is the reason that companies hire contractors, as they don’t want to go through the process of firing you. If your contract isn’t renewed, you won’t get a compensation package, and you will be asked to leave. Some companies simply do not hold long-term work in order to keep you busy, and you are given a specific project for short period of time. When the end of your contract is up, you are nearing the end of contract jobs, talk to your manager about the chance and likelihood of your contract being renewed or you being hired in a full-time position. If it seems doubtful, then start looking and applying for another job.
Conclusion
A contractor more likely has a lot of freedom to make his own schedule, work from home, outsource parts of a project and much more. A contractor is also generally allowed to negotiate and work with his future employer to customize contract jobs that makes sense for both.
