Anybody have experience with Staffing agencies (Temporary, Contracting)?

[WhYMee]

Hey guys,

Any of you guys have input on this? I was recently contact by a recruiter about a contracting position. It's in a hospital setting, they said that the contract is open....there is no end date. But he said that most often this type of position extends pretty long term. I asked about benefits, they have a 401k, they don't provide medical benefits (but they can be purchased through them), 5 sick days after 120 days of service, no vacation days.

I am considering the position now because the particular position may open up some future opportunities that I am trying to set up. The experience and networking opportunities might be helpful. I have some things setup hopefully in the not too distant future and this might be a good set up.

I have heard some things about contract positions, being considered self-employed. If you are considered self-employed, they do not withhold taxes and you have to pay taxes directly to the IRS yourself at the end of the year. You are also responsible for paying 100% toward social security. From my research though, it seems that you can only be considered self-employed if you can come and go when you please and you do not have to answer to a manager so I think I may be treated as an "employee."

Another thing from my research is I heard some positions have a non-compete clause, which means that the place that you work cannot directly hire you unless the pay the agency a pre-set buy-out amount. I believe that it is only the place that they set you up to work in that has to pay the buy out, not if you just leave them for another company all together.

Has anyone done this type of a thing? Would you recommend it? What are some things to look out for if I am extended the job? I am very new to this type of employment and have just been trying to research online. I will definitely be going over the contract with a fine tooth comb.

Thanks in advance

---

Members don't see this ad.

 

[Dred Pirate]

i did it, but only as a part time job.

- you are usually considered contract - if you do this full time, you need to pay quarterly taxes - make sure you calculate that when you look at your salary.

If they offer a 401k - you are not self emplyed - you are an employee

most have the non-compete clause - keeps you from saying - hey - I will work for less that what you are paying the company to staff me here.

I would only do it as part time work, or if you do not need full time guarantee - if you need full time guarantee - and the hours disappear, you are on your own

 

[BidingMyTime]

I have heard some things about contract positions, being considered self-employed. If you are considered self-employed, they do not withhold taxes and you have to pay taxes directly to the IRS yourself at the end of the year. You are also responsible for paying 100% toward social security.

FYI, if you are self-employed (or if your employer doesn't withhold taxes for any reason) then you must pay estimated taxes *quarterly*--there is a penalty if you underpay (you can get a refund, no interest of course, if you over pay.)

From my research though, it seems that you can only be considered self-employed if you can come and go when you please and you do not have to answer to a manager so I think I may be treated as an "employee."

That is true, if the business is dictating their hours, then you would legally be considered an employee. For you to not be an employee, then you would have to be free to dictate your own hours. The big difference is in liability, if you are *not* an employee, then you would be liable for any lawsuits arising from your work....if you are an employee, then your employer would be liable (you could still be liable as well, but your employer would share the liability) From what you are describing, I think you would be considered a contract employee, I would expect the hospital to withhold taxes for you even if not legally required (I honestly don't know if they are legally required to for contract employees.....I think it depends on how much you make from them.)

another thing from my research is I heard some positions have a non-compete clause, which means that the place that you work cannot directly hire you unless the pay the agency a pre-set buy-out amount. I believe that it is only the place that they set you up to work in that has to pay the buy out, not if you just leave them for another company all together.

I think this is pretty standard, at least for a certain length of time (like 1 year.) The agency you are going through should be able to tell you if they have a non-compete clause. Many places do hire people from agencies, after having the chance to evaluate their work first-hand, so I wouldn't let a non-compete clause stop you from taking the job (then again, some employers may prefer not to hire people away from agencies, just so they can avoid paying benefits)

 

[WhYMee]

Thanks for the info guys! Very helpful.