Heh, yeah, from two perspectives: how many people are covered under an insurance company translates to leverage over medical billing (the insurance company wants to pay the lowest amount possible, and the more insured people they have, the more leverage, or so I've heard...) as well as the fact that paying for insurance out of your own pocket entirely is unfeasible, when I was contracting I was paying like $400 - $600 for health insurance I barely used (I can't remember the exact number, but it was a hit), just in case, now I pay less than $200 which includes my spouse. With $600 I could pay for so many expenses I actually use monthly.
You’re still paying for it. It’s part of your compensation. The last time I looked a couple of years ago, between what we were paying and the company it was $1000 a month.
as well as the fact that paying for insurance out of your own pocket entirely is unfeasible, when I was contracting I was paying like $400 - $600 for health insurance I barely used (I can't remember the exact number, but it was a hit),
If you assume you work 1800 hours a year and your insurance is $600 a month, it’s $4/hour you add to the amount you charge per hour. (Insurance is pretax).
It doesn’t change the math. You should still insist on enough of a difference in your hourly rate to make up for paying your insurance. I’ve worked with contracting firms from both sides - hiring through them and working for them. They take enough of a cut from what they charge the client to have wiggle room to adjust your hourly rate.
Not directed toward you specifically, but people over index on benefits when choosing between contract work and full time. Every benefit has a dollar value that you should you use when determining an acceptable hourly rate - that includes health, PTO, holidays, 401K matches, etc.
Companies don’t generally hire contractors to save money, they hire them because it is a lot easier to get rid of them. You should be able to charge a premium as a contractor not make less.
But then you better be damn good at budgeting, networking and keeping your eye on the market.
Yeah those are things I lack experience in. I have had less than half a handful of jobs as a software engineer. I hate having to leave jobs but if they dont give me any other choice...
I agree with OP for my own reasons, but you bring up a very good point that I hadn't previously considered, so thanks.
I've been working remotely from different parts of south/southeast Asia for almost a year now and my cost of living is comparable to my previous residence in Amsterdam. If I was paid less just because I'm in Asia now, I'd be a bit peeved.
I spend a somewhat similar amount on rent because I expect a certain standard of living. I also bought recently bought a new laptop, which ended up costing more than if I had bought it in most expensive countries. Last time I checked, most of the items I regularly buy (e.g. a cold brew coffee) cost exactly the same here.
You should be paid for the value you bring to the company. Your location WRT earning potential is none of your employer's business.
