> Meaning nothing will change except they won't take away PAYE but I > have to register for GST and file for GST every 2 months. > > In summary, I can take home more money since I don't have to pay PAYE, > but I have to hire an accountant to do my financial stuff or do it > myself. > > What do you think?
You still have to pay the same amount of tax on your income, plus now you will have to pay ACC yourself and do your tax (or find an accountant). And like others have mentioned, you're not entitled to sick leave, annual leave, etc as a self-employed. So you need to increase your rate to essentially earn equal as when you're full time employee. Otherwise it is a downgrade to your income and lifestyle. Don't forget that as a contractor, you critically need the ability to find other/more clients. You need to be able to afford, time and money wise, to find new clients. Regards, Sid On Thu, Apr 16, 2009 at 12:11 PM, [email protected] <[email protected]> wrote: > > Hi all, > > My employer proposes me change to change my position from full time > employee to fixed contractor. He says > >> While nothing will change in terms of the relationships we have, it's >> simply a change in terminology and the way you earn money. > > Meaning nothing will change except they won't take away PAYE but I > have to register for GST and file for GST every 2 months. > > In summary, I can take home more money since I don't have to pay PAYE, > but I have to hire an accountant to do my financial stuff or do it > myself. > > What do you think? > > > -- Blue Horn Ltd - System Development http://bluehorn.co.nz --~--~---------~--~----~------------~-------~--~----~ NZ PHP Users Group: http://groups.google.com/group/nzphpug To post, send email to [email protected] To unsubscribe, send email to [email protected] -~----------~----~----~----~------~----~------~--~---
