As with any endeavor, there are pros and cons to each option of either hiring an employee or independent contractor. With an independent contractor, the major pro may be the fact that you’re saving yourself money. Stephen Fishman, J.D. on NOLO covers this and many more pros and cons in his article here.
When weighing the positives and negatives, you must also consider the circumstance. Ask yourselves some questions, like:
- Do you need an employee or just temporary work?
- If you need something more long-term, do they need to be available set hours or in a specific location, or is it more flexible tasks to be completed?
- Can you learn to trust someone who may only see you via webcam?
These are just a few examples of good aspects to ponder. If you are aware of your needs, there are also ways to safeguard your information (like passwords) so as not to worry about those getting in the wrong hands. LastPass proves a great resource for protecting your passwords, but still allowing access to certain places (like social media accounts, etc.) if you are hesitant about sharing that information.
Another bonus of hiring an independent contractor is the fact that you don’t necessarily need to fill an employee’s plate with tasks that they do not specialize in and hope that they provide quality work on all fronts. You can find someone who is an expert in that niche, for example, graphic design – and delegate your work in them. Although you may find someone you are loyal to and fills your needs well without looking for numerous independent contractors, you’ll still be saving money for only paying for the projects worked on rather than someone being available 8-10 hours a day and adding in any benefits on top of the hourly pay.
Additionally, when hiring an independent contractor, you are not paying overhead expenses including taxes, medical insurance, benefits, pension, 401K, etc. If you are running your company online, you also are not paying for a location for an employee to come to work.
Do you have any questions I could help answer on this topic? Or a pro or con you’d like to contribute?
I’d love to hear from you.
Feel free to contact me if you’d like to discuss hiring me for a project or a more long-term working relationship OR schedule a discovery call to discuss options as well. Have a happy weekend!
