I might also add, that the easiest option is to just go with the PAYG option. You pay tax as you go, so don't have to pay the ATO at some later date (and realise you didn't keep any aside...) and there is also GST you would have to collect and submit either annually or quarterly (but if the amount is under a certain amount per year then you don't have to collect GST)... forget what that amount is currently. I'm registered currently (for side gigs) but the amount is less than their threshold... if its under, its up to you if you do collect it or not but if its over it, then you have to. Its less to think about if you go PAYG with your first contract. Oh, as a sole trader you get an ABN (also as a company) which is the main requirement. I think if you go the PAYG route then all of the tax stuff is done as yourself using your tax file number. Get a good accountant, it's worth it. Might spend extra money on the accountant, but they know the stuff you can claim etc and you end up saving way more in taxes, plus they keep up to date on the regular rule changes... crazy not to, unless you like giving your money away. if so, I'll send you my bank account details... hehe ________________________________ From: ozdotnet-boun...@ozdotnet.com <ozdotnet-boun...@ozdotnet.com> on behalf of Tom P <tompbi...@gmail.com> Sent: Sunday, 23 June 2019 8:28 AM To: ozDotNet Subject: [OT] Contracting advice for payroll
Hi folks This is the first time I will be in a contracting role. I've done some digging around payroll options but wanted to check with any contractors here about their experiences and recommendations. There seems to be three options: (1) PAYG where the recruitment agent does it all, (2) set up my own company, or (3) use a management company. Any advice from the contracting pros? Thanks Tom
