Hi!

I’m based in Canada and was offered the opportunity to work as a contractor for a US company. I would not be an employee for them so I would need to set up a corporation ( is what I’m told the best option).

I’ve never don’t contract work and it seems like a whole different world because we don’t get benefits, paid time off, or any security for a matter.

Is anyone here already in that boat and would care to give me some advice and how you started out? Any tips , ie cost that you didn’t expect and I should account for?

Also note… they are giving me about 10k more than what I’m earning now… so I don’t know if I’d be actually pocketing less or same.

  • JohnEmerson11@alien.topBEnglish
    1·
    10 months ago

    Sign an Independent Contractor Agreement with the company. In the agreement ensure that you include your hourly, weekly or monthly rate; bill them for your time. In the agreement ensure that your invoices are paid net 5-10 days and define how often you will be invoicing them. $10,000 more is ok but you will need to account for your own taxes. I recommend negotiating for more money since you are the one bearing the burden of taxes, and working without benefits.

    One last thought, you might include a termination clause in the agreement (something like they have to pay you 1 month or give you a 30 day notice) when terminating the contract.

    • sherbear0508@alien.topOPBEnglish
      1·
      10 months ago

      Wouldn’t I actually benefit on taxes because small businesses only get taxed 12% while personal taxes is around 30%?

      Technically I could leave money in the corporation and get taxed minimally … so isn’t that a plus?