I meant the 30% for a company was a benefit. Individual rates will be much higher normally for contractor rates these days
On Sun, 23 Jun 2019 at 14:59, Greg Low <g...@greglow.com> wrote: > But you claim the 30% back as franking credits, so no issue. > > Regards, > > Greg > > Dr Greg Low > SQL Down Under Pty Ltd > Mobile: +61419201410 Office: 1300775775 > > ------------------------------ > *From:* ozdotnet-boun...@ozdotnet.com on behalf of DotNet Dude < > adotnetd...@gmail.com> > *Sent:* Sunday, June 23, 2019 1:24 pm > > *To:* ozDotNet > *Subject:* Re: [OT] Contracting advice for payroll > > Companies also pay 30% tax so keep that in mind. Set up costs are around > $2500+gst if I recall correctly and you get an ABN and ACN. > > Several agents in Melbourne only deal with companies from our experience. > > Sole traders don’t have to pay super which can be a good or bad thing. > > On Sun, 23 Jun 2019 at 13:13, Greg Low <g...@greglow.com> wrote: > >> I’ve always had a company and have to say I can’t imagine not doing so, >> but YMMV. >> >> I think it’s the most flexible by far. >> >> Mind you, I don’t look for long term gigs, otherwise the 80% rule, etc. >> around personal services starts to be an issue. As soon as you want other >> employees, etc, I would only use a company. >> >> 10M for both prof and prod liability isn’t too expensive. So many of our >> customers want it so it’s a no brainer. Someone recommended BizCover a long >> time back, we’ve used them, and they’ve been ok to deal with so far. Gets >> cheaper the longer you have it without any claims. >> >> Regards, >> >> Greg >> >> Dr Greg Low >> SQL Down Under Pty Ltd >> Mobile: +61419201410 Office: 1300775775 >> >> ------------------------------ >> *From:* ozdotnet-boun...@ozdotnet.com on behalf of Stephen Price < >> step...@lythixdesigns.com> >> *Sent:* Sunday, June 23, 2019 12:32 pm >> *To:* ozDotNet >> *Subject:* Re: [OT] Contracting advice for payroll >> >> 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 >> >
