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Contractor or go on payroll?

  • 27-04-2010 12:02pm
    #1
    Registered Users, Registered Users 2 Posts: 514 ✭✭✭


    Hi, I've applied for a temp job as a trainer for a 5 week course running this summer. The guy I was interviewed by asked if I want to be paid as a contractor or to go on their payroll.

    My current situation is this: I'm employed part time from Thursday to Sunday and am getting JSA for the 3 days I'm not working. The temp training course would run on these 3 days

    If I setup as a contractor for the temp training position, will I have to notify my current employers that I'll be invoicing them or can I stay on their payroll and still be contracting myself out for the training job?

    If I did decide to go on the payroll for the temp training job, I'm assuming I'll be hammered by tax as I'd be working 2 jobs. I need to calculate what I'd be paying in tax but a little unsure how to go about this. Can anyone give me a few pointers or links?

    I'm also not sure what the implications are for the JSA I'm getting. If I setup as a contractor, wouldn't that make me self employed and ineligible for any form of welfare? If I stayed as a PRSI worker for the training course, would that mean my JSA would be stopped for good or would it resume after the course had finished?

    Sorry for all the questions, any help much appreciated!


Comments

  • Moderators, Category Moderators, Arts Moderators, Business & Finance Moderators, Entertainment Moderators, Society & Culture Moderators Posts: 18,375 CMod ✭✭✭✭Nody


    Few things to note; first of all either way you will not get the JSA and you will need to pay tax on it. Having 1, 2 or 15 jobs don't cost you more tax but you may end up paying in to little/much tax and will need to compensate for this.

    If you go as contractor you need to pay in the PRSI tax etc. yourself and also keep the books to seperate what is your income and what is the contract income in your submissions to revenue etc. Since this is only five weeks I'd recommend going on the books as employee unless you plan to do more training in the future and want to set up a company to run it.


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