Full time vs contracting

[Vaampire]

26 minutes ago, Sanjiv said:

How is the meagre 401K comparable to SEP-IRA at 25% Employer's share (100% from employer and 0% from you)?

How many companies offer stocks?

As an FTE of your own S-Corp, you can pay yourself bonus, go on PTO and you still get paid a fixed monthly salary (yearly/12) by your own company.

And all the deductions, expense write-offs you can do as an S-Corp?

In my opinion, FTE is like owning a house with a huge mortgage. Contracting is like renting an apartment for a small amount and investing the difference.

Rofl for ur comparision. What would be the career growth as an contractor? Mostly end up as IC. As fte, u can climb the ladder.

i have been hearing same billing rates $50-100 since i came to usa. Not the same with fte.

most of the companies offer bonus. And some of the companies offer rsu’s. U need to work for landing in those companies. Its definitely not as tough as u think.

 

how is fte owning a home with huge mortgage. Remember its just a job and u can always switch if u dont like. 
 

as an s corp, u can get paid on vacation. How is ur company getting money? Isnt it from ur contracting? If u take 4 weeks off from contracting, client wont pay for ur company correct? Then ur company will loose money instead of u.. but u said as if there is no loss. The total revenue of ur company will be the total amout paid by ur clients for ur contracting work.

[perugu_vada]

12 minutes ago, Vaampire said:

Rofl for ur comparision. What would be the career growth as an contractor? Mostly end up as IC. As fte, u can climb the ladder.

i have been hearing same billing rates $50-100 since i came to usa. Not the same with fte.

most of the companies offer bonus. And some of the companies offer rsu’s. U need to work for landing in those companies. Its definitely not as tough as u think.

 

how is fte owning a home with huge mortgage. Remember its just a job and u can always switch if u dont like. 
 

as an s corp, u can get paid on vacation. How is ur company getting money? Isnt it from ur contracting? If u take 4 weeks off from contracting, client wont pay for ur company correct? Then ur company will loose money instead of u.. but u said as if there is no loss. The total revenue of ur company will be the total amout paid by ur clients for ur contracting work.

Kontha mandhi uncles ni chusa .. wife fte chesthe, they do contracting.. there definitely must be some benefit in contracting vs fte for sure, Leda y wud they do it

also to climb up the ladder .. and staying technical, takes time in fte.. 

[Complex]

1 minute ago, perugu_vada said:

Kontha mandhi uncles ni chusa .. wife fte chesthe, they do contracting.. there definitely must be some benefit in contracting vs fte for sure, Leda y wud they do it

also to climb up the ladder .. and staying technical, takes time in fte.. 

uncle me wife working a? how many jobs are you doing?

[perugu_vada]

2 minutes ago, Complex said:

uncle me wife working a? how many jobs are you doing?

No uncle my wife does not work .. she takes care of household chores .. we are happy this way 

nenu 1 ye doing uncle .. multiple chesina ekuva days cheyanu .. break theskuntu unta after 2-3 months ,. 

[Complex]

Just now, perugu_vada said:

No uncle my wife does not work .. she takes care of household chores .. 

nenu 1 ye doing uncle .. multiple chesina ekuva days cheyanu .. break theskuntu unta after 2-3 months ,. 

NIce bro... GC undhi ga no restrictions ga ippudu.. IT bore kodithe uber kuba kottochu sardhaga 

[perugu_vada]

2 minutes ago, Complex said:

NIce bro... GC undhi ga no restrictions ga ippudu.. IT bore kodithe uber kuba kottochu sardhaga 

Yeah .. fte aithe chestha for insurance benefits .. inka contracting aithe 2-3 months chesi break

uber king @Sucker uncle degara tips do’s and dont’s (like no scratching ladies during trips) theskunta .. incase Uber cheyali ante 

[Complex]

Just now, perugu_vada said:

Yeah .. fte aithe chestha for insurance benefits .. inka contracting aithe 2-3 months chesi break

uber king @Sucker uncle degara tips do’s and dont’s (like no scratching ladies during trips) theskunta .. incase Uber cheyali ante 

ma 2015 sangathi anthe antava uncle 

[Sanjiv]

1 hour ago, Vaampire said:

Rofl for ur comparision. What would be the career growth as an contractor? Mostly end up as IC. As fte, u can climb the ladder.

i have been hearing same billing rates $50-100 since i came to usa. Not the same with fte.

most of the companies offer bonus. And some of the companies offer rsu’s. U need to work for landing in those companies. Its definitely not as tough as u think.

 

how is fte owning a home with huge mortgage. Remember its just a job and u can always switch if u dont like. 
 

as an s corp, u can get paid on vacation. How is ur company getting money? Isnt it from ur contracting? If u take 4 weeks off from contracting, client wont pay for ur company correct? Then ur company will loose money instead of u.. but u said as if there is no loss

I think you are laughing more than you are supposed to

Contractors don't care about the ladder or the position. I make more than my senior manager and he knows it too. At the end of the day or end of your career, you can be either proud of your job-title/position you retired as (manager, etc) and frame it on the wall as a show-off (if you still have that kind of mindset) --- or be happy with how much you earned and saved for your cozy retirement. If you contribute 25K a year (average example) in SEP-IRA as 100% Employer's share for 10 years, that is a quarter million dollars, 20 years of that contribution is half a million dollars - invested yearly to grow even much more than that during that period including earnings on taxes. How much does  401K save you in 10-year and 20-year period (employer's share only)?

Who is stopping you giving yourself a bonus or going on PTO working for your S-Corp? Yes, someone has to lose some money when you enjoy benefits whether it is the company you work for or your own company. Your insurance, PTO, bonus, etc. as a FTE are built into your salary (just don't think they are coming for free LOL). You are making it sound like your company is paying you these benefits for free. Nothing is free - not even Google or Yahoo. The more you work and the less you pay yourself on contracting, the more you earn and save on taxes. If you choose to have PTO, go for it. I've seen many contractors go to India for at least a month every year and lose their income during that time. It's what matters to you most.

Who is stopping you from selling your house and buying another house? People do it all the time for so many reasons. You are sounding like people who work as contractors and live in apartments earn less because they are less skilled and less intelligent. Not true.

There are billing rates crossing $140 an hour and some people on this forum can attest to that. Even a scrum master makes $115 an hour as a contractor (I've seen it). An architect makes $120 an hour. I mentioned $100 as an average rate example. It shows you have not seen enough.

If you are a hardcore developer demanding top-dollar, why would you want to waste your career working as a FTE for 20 years? For the job title to retire and boast to others that you worked as a manager?

[Vaampire]

25 minutes ago, Sanjiv said:

I think you are laughing more than you are supposed to

Contractors don't care about the ladder or the position. I make more than my senior manager and he knows it too. At the end of the day or end of your career, you can be either proud of your job-title/position you retired as (manager, etc) and frame it on the wall as a show-off (if you still have that kind of mindset) --- or be happy with how much you earned and saved for your cozy retirement. If you contribute 25K a year (average example) in SEP-IRA as 100% Employer's share for 10 years, that is a quarter million dollars, 20 years of that contribution is half a million dollars - invested yearly to grow even much more than that during that period including earnings on taxes. How much does  401K save you in 10-year and 20-year period (employer's share only)?

Who is stopping you giving yourself a bonus or going on PTO working for your S-Corp? Yes, someone has to lose some money when you enjoy benefits whether it is the company you work for or your own company. Your insurance, PTO, bonus, etc. as a FTE are built into your salary (just don't think they are coming for free LOL). You are making it sound like your company is paying you these benefits for free. Nothing is free - not even Google or Yahoo. The more you work and the less you pay yourself on contracting, the more you earn and save on taxes. If you choose to have PTO, go for it. I've seen many contractors go to India for at least a month every year and lose their income during that time. It's what matters to you most.

Who is stopping you from selling your house and buying another house? People do it all the time for so many reasons. You are sounding like people who work as contractors and live in apartments earn less because they are less skilled and less intelligent. Not true.

There are billing rates crossing $140 an hour and some people on this forum can attest to that. Even a scrum master makes $115 an hour as a contractor (I've seen it). An architect makes $120 an hour. I mentioned $100 as an average rate example. It shows you have not seen enough.

If you are a hardcore developer demanding top-dollar, why would you want to waste your career working as a FTE for 20 years? For the job title to retire and boast to others that you worked as a manager at a FAANG?

Do u have any idea how much mgrs at faang make?

 

i dont understand ur logic. For 401k, ur asking to just consider employers contributing, but for sep-ira you want to consider the complete 25k. Wasnt that 25k paid to ur company by the client for ur contracting hours. I mean that 25k comes from ur contracting money?

 

for example u work for 48 weeks and take 4 weeks vacation, client will only pay for 48 weeks. So u will be loosing 4 weeks pay(u or ur company) where as fte gets pay for 52week.

i am curious to know how mortgage works with ur model. Will lenders consider just ur w2 form or ur companies income while giving loan? I honestly dont know the answer

[Sanjiv]

6 minutes ago, Vaampire said:

Do u have any idea how much mgrs at faang make?

Yes, but Why do I care? I don’t want to be a manager, don’t want to work as FTE for a FAANG.

Are you asking me to ask you how much you make so you can boast it here?

 

[Vaampire]

6 minutes ago, Sanjiv said:

Yes, but Why do I care? I don’t want to be a manager, don’t want to work as FTE for a FAANG.

Are you asking me to ask you how much you make so you can boast it here?

 

If you are a hardcore developer demanding top-dollar, why would you want to waste your career working as a FTE for 20 years? For the job title to retire and boast to others that you worked as a manager?

 

i was reply to this since u used the term top-dollar

[Sanjiv]

2 minutes ago, Vaampire said:

If you are a hardcore developer demanding top-dollar, why would you want to waste your career working as a FTE for 20 years? For the job title to retire and boast to others that you worked as a manager?

 

i was reply to this since u used the term top-dollar

Not every wants to work as a manager and not everyone can become a manager at FAANG. 

[Vaampire]

2 minutes ago, Sanjiv said:

Not every wants to work as a manager and not everyone can become a manager at FAANG. 

Not everyone can do what ur doing. For some people contracting works and some people fte works. 
 

i am curious to know how mortgage works under ur model. They take ur w2 or ur company taxes into consideration while giving loan? Honestly i dont know the answer

[Spartan]

[CNR]

I worked for consulting for 10 yrs,  and fte from last 3 years. Any day FTE is better, Consulting you work hard and FTE take recognition. Once you have family security is more important, kids ask about position, so they can share with friends.

I feel wasted 10 yrs In consulting, BTW I have friend have been doing FTE from 16nyrs, he has 401k of 1 million. 
 

I tell young kids , please don’t waste your time in contracting and make employer rich. Work on FTE and growth will come

Simple would you work as contracting in India, same here. Contracting is for mediocre people . Do contracing if you make 300 to 400 per hour but that is not general league.