2 Benefits of contracting

While this form of employment may be the less preferred option for some, entered into through necessity rather than desire, there are a number of definite benefits to be obtained.

Financial: Firstly, and perhaps most alluring, is financial reward. Contractors will be paid a premium rate due to the nature of the relationship, and the relatively short-term nature of the position. Increases of 100% upwards on the equivalent salary are not uncommon. In addition, you will be paid for every hour you work in a contract position, frequently enjoying overtime rates.

A Foot in the Door: Contract positions also offer a greater flexibility in working conditions and agreements, present an excellent gateway for those who have been out of the job market for a while to ease themselves back in, and can, very often, lead to the offer of permanent positions. For those ideally looking for permanent work, a contract offers an excellent opportunity to build up market/company knowledge before pursuing a permanent appointment - a "try before you buy" situation. In addition, the new Working Time Directive also means that people working on PAYE contracts are entitled to 4 weeks paid holidays a year. Contracting also tenders flexibility in payment terms. Many people find that being paid weekly can offer a "quick fix" to short-term financial difficulties, and allows them to manage their affairs more easily.

Skills Building: Working in multiple contract positions over an extended period is an excellent way to build a unique skill set, possibly covering a number of industry sectors and presenting an incite into different company structures, operations and cultures. This will help to enhance a CV, building up an admirable list of reference contacts, culminating in the contractor being known and recognised within the market place and, ultimately, the ability to demand higher rates, or permanent employment.