Robin Lamb | Published 6 February 2023 | Updated 6 February 2023
Becoming a contractor offers great freedom and flexibility but also unique challenges. So before you take the plunge and switch to becoming a contractor, it's essential to explore this journey's potential advantages and disadvantages.
Pros of Being a Contractor
Going the route of becoming a contractor offers significant advantages and flexibility. You can enjoy working on exciting projects, have a better work/life balance and gain skills and experience in different realms that can be valuable for future opportunities. Many contractors also boast of tax deductions not available to regular employees. Plus, you'll have the potential to earn more than salaried workers. If you do a great job, you can quickly build up word-of-mouth referrals from clients seeking your services as a contractor.
Cons of Becoming a Contractor
On the flip side, becoming a contractor can come with its own set of drawbacks. While contractors have more scheduling and job flexibility than regular employees, they also have less job security. Contracts often end abruptly when the project is over, and there are no guarantees that new projects will arrive on time or as expected. This could leave you scrambling to find work between contracts. In addition, some contractors do not receive superannuation contributions like regular employees. Finally, if you work as an independent contractor, you may be liable for any mistakes made while on the project.
Defining What it Means to be a Contractor
Being a contractor means that you are self-employed rather than an employee of a company. As a contractor, you typically perform specific services for a client. You may be asked by that client to work on several different projects over time. Contractors are free from the constraints of traditional employment like set hours or mandatory attendance at office meetings and, since they're in charge of their own projects and timelines, can often be more flexible about when and how much work they complete for clients.
The Right Time to Become a Contractor
Becoming a contractor is an important decision, so it helps to consider your lifestyle and career goals. If you're in no rush to switch careers or are content with your current work, becoming a contractor might not suit you. On the other hand, if you're craving a greater level of autonomy and freedom in your professional life, making the transition could be very beneficial.
Resources to Find Contract Jobs
Thankfully, more and more resources are available to make finding contract jobs easier. For example, websites such as Upwork and Fiverr provide platforms for contractors in various fields, including freelance writing, website development, and app design. Additionally, you can take advantage of job boards or marketplaces explicitly created for contractors. These are usually run by recruitment and staffing agencies. Once you've found the right opportunity, these sites will allow you to find secure employment without the usual long-term commitment.