Best Billing Options for a Contract Position?

Posted by Cliff on Wednesday December 19, 2001 @11:20AM from the understanding-the-fine-print dept.

ffatTony asks: "I've finished college and found a great job, but now I'm surrounded by a number of contracting options without any real explanation of why one is better than the other. I hoped the more experienced among you could provide some insight. The three options presented to me are (1)Corp to Corp (100% payrate), (2)Independent Contractor (86% payrate), and (3) W2 Employee (62% payrate and a moderate weekly expense stipend). I understand that for the first two, I will need to pay self-employment tax. And in the first case I'll need to start a corporation (<$100, I'm assured), get an insurance policy, and workman's compensation. I'd like to hear about your experiences and any hidden fees that may be associated with each option. What do you all suggest? (Yes I'm going to talk with an accountant as well). Also can anyone suggest an online source that explains exactly what is tax deductible."

Slashdot Mirror

Best Billing Options for a Contract Position?

1 of 282 comments (clear)