Frequently Asked Questions

1) Contract versus Perm Position

Many candidates ask us about the pros and cons of contract employment versus permanent employment. There are many factors to consider, and only the candidate can decide which is right for his or her circumstances.

Direct/Permanent-Hire:
Potential Advantages: 
• Potential for stock options
• Retirement plans
• Stability
• Continuing technical education, and
• Career growth.
• Increased potential for paid training

Potential Disadvantages: 
• Risk of being stuck on one project or application
• Lower cash compensation than with contract
• Fewer professional contacts in the development community
• Unpaid overtime
• Lack of project variety at many companies

Contract Consulting
Potential Advantages: 
• Increased income
• Project variety
• Flexibility
• Chance to experience a company before you commit to full-time employment
• Paid overtime
• Chance to build your professional network rapidly and stay in the forefront of technology

Potential Disadvantages:
• Lack of stability
• The risk of being released on short notice
• Lack of a defined management career track
• Less-than-ideal working conditions at some companies, and having to interview more frequently.

 


2) Different ways to get paid:

  1. a) W2
    b) Corp-to-Corp

    You will most likely get paid W2. If you have a corporation or LLC then we can contract with your corporation or LLC to pay on a corp-to-corp basis. If someone is a one-man corporation or subcontracted through another agency then we are going to require a certificate of incorporation or certificate of organization as well as a business bank account as proof that there is a separate company. 




3) How do I create a corporation or LLC?

Everything you need is Here

 

4) How do I get a federal tax ID number?

Through the IRS at irs.gov

 

6) How long will my contract last?

The average contract duration with our clients is 6 months, but many continue for up to 3 years and sometimes longer depending on each client’s internal policies.  Because Texas is a right to work state and employment is at will, you are not legally bound to stay the duration of your contract term and we and our clients are not legally bound to keep you through the initial terms of the contract.  Understand that it can be an unwise career choice to terminate a contract early, especially without working with your supervisor to coordinate a transition.