The results of our 2022 client survey showed that more than 90% of our clients planned to continue working as a contractor, up from 76% in 2020. This blog piece investigates why professionals are moving away from traditional employment to contracting and the main reasons that the majority of those that do move, decide to stay!
Did you know the popularity of contracting in Ireland is growing? The results of our 2022 client survey showed that more than 90% of our clients planned to continue working as a contractor, up from 76% in 2020. For us at Icon Accounting, we can tell from our client's feedback that confidence in the contracting industry is growing year on year since our founding in 2008.
Right now, there are more contracting opportunities available than ever before, so much so that there are more jobs available than contractors. People are moving away from traditional employment to contracting, and the Covid-19 pandemic has only caused professionals to take a deeper look at the best working practices for them.
Flexibility
There is flexibility associated with contracting that a permanent job doesn't offer. Many contractors find the ability to choose their own working hours or days means they can enjoy a better quality of life. For some this may mean working evenings or weekends to suit their family life or opting for a four-day work week. You might find that an unconventional schedule works better for your lifestyle.
Working as an independent contractor gives you the freedom to make decisions around your work life that are traditionally made by a manager or managing director. Outside of time decisions this also extends to your work location, the projects you work on, and the rates you charge.
Specialist experience
When you work as a contractor you have full control over your workload. Getting to choose the contracts you apply for gives you the opportunity to specialize in an area of your industry that interests you. This might be an area you already have experience in and want to focus on or it could be an area that you want to try for the first time. Expanding your portfolio with experience in specialties of your choice means you get to steer your career in the direction of your choice.
Having this specialized experience makes you a more attractive candidate for projects when tendering for a contract.
Financial gain
There are several financial perks when it comes to contracting.
Firstly, you get to set your rate. Contractors tend to earn more for their work when compared to other employees in the industry. This means the extra cash will make its way into your bank account. There is a demand for companies to hire contractors for ad hoc jobs over adding another employee to the payroll short term. It costs them less in overheads and reduces their managing responsibilities, the knock-on effect from this is that they are prepared to pay the higher rates you set for your specialized services
Additionally, contractors are entitled to increased rates of tax relief. Including writing off some company’s expenses and reducing the rates of income tax you pay. The benefit of this can be maximized when you outsource your accounting to a firm like Icon Accounting. Given their specialization in contractor accounting, they will ensure you get all of the tax opportunities available to maximize your income.
The future of working is in contracting
Contracting is becoming more and more popular in Ireland. Given all the added benefits it isn't surprising why people are switching from permanent employment settings to contracting. The environment and perspective of working in Ireland are changing every year and there is support for contracting in recent times that had not previously existed. Check out this video of Sean from Icon Accounting sharing more about the future of work in Ireland.
If you would like to know more about contracting, why not read some of our other blogs on contracting or check out our FAQ'S section on our website to answer some of the questions you may have. You can also reach out to our team of expert advisors who will provide assistance in deciding if contracting is right for you by emailing info@iconaccounting.ie or by visit at Icon Accounting
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