BECOMING AN ENGINEERING CONTRACTOR

Becoming An Engineering Contractor

You are defined as a contractor if you work under contract for somebody else for a fixed period to help them complete a project. There are several reasons that you might choose to become a contractor- money being one of them. However it is important to understand that being a contractor is very different from being employed.Contracting offers far more financial freedom and independence than permanent work can ever do however at the same time you are very much responsible for your own successes and failures .

Engineering contractors are employed in a wide range of organizations as they offer more flexibility than permanent staff; can provide the skills necessary for a particular project and are normally less expensive to employ because sick pay, holiday pay, redundancy pay and National Insurance need not be paid.

In fact there is a huge demand for engineering contractors in not only the UK but a great many other countries and according to Monster Employment Index ; online job posts for Engineering has seen an increase of 24% ; the top growth industry.

If you are a engineer and find contracting attractive then right now is a very good time to go contracting. However before you quit your permanent job, you need to understand the area in which your engineering expertise is deployed, the types of contracting opportunities in that area and expected levels of compensation.

Then you need to direct your attention to securing a contract.

Once a contract is secured you would need to decide how you want to work? There are two main options available:

PAYE umbrella

Limited company

The route you decide to take depend on your individual circumstances however working through a limited company is probably the most tax efficient way of working.

If you are unsure about which option is best for you then get in touch with us and we will help you through the entire process of setting up and getting settled in as an Engineering contractor.