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Old 01.05.2007, 09:20
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Freelance vs Salary?

Hello everyone, I am a brand new member, and so far have really enjoyed browsing your forum. I have an unusual "problem". I am an American living in France, and I have a Swiss passport (my husband is swiss/french). I have been offered part-time work teaching English in Geneva. I know I am allowed to work in Switzerland (I must be, since I am swiss..), but I have never doen so before. My new potential employer has offered me the choice to work as a freelancer for quite a good rate, or as a salaried employee (less good rate, but still good compared to france!); I earn income and pay taxes in france and in USA; Should I take the work as an employee, minimize my own paperwork- have deductions n stuff taken out by my employer/ or, take the work as a freelancer, get paid in euros to my french address?/ or become an independent worker in switzerland (if so, how?), get paid in swiss francs and start my freelance carreer in a third country... I am most affraid of beauracracy in France, but I will do what I have to do..
any advice is very much appreciated! happy May Day. AnaDuck
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  #2  
Old 01.05.2007, 09:57
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Re: Freelance vs Salary?

if you work in geneva then you would have to pay taxes in switzerland too...right?
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Old 01.05.2007, 10:50
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Re: Freelance vs Salary?

I would suggest speaking to a competent legal and financial advisor who can tell you of the advantages or disadvantages of the respective options.

Rgds,
Nick
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Old 01.05.2007, 13:33
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Re: Freelance vs Salary?

You have to take proffesional advice as it is a very personal situation.

I am not sure if the rule of 183 days applies for Switzerland too. This means if you are living in Geneva for over 180 days then you are obliged to pay taxes here.
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Old 01.05.2007, 16:44
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Re: Freelance vs Salary?

I dont live in Switzerland; I live in France; but if I work in Geneva, I would generate income in switzerland; I imagine I have to pay taxes in the country where the income is generated; so I guess i need to talk to an expert... any recommendations in geneva?
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Old 01.05.2007, 16:57
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Re: Freelance vs Salary?

If you live close to the border and cross every day, special rules apply, and some horse trading goes on between the two tax authorities. You may therefore end up dealing with two tax regimes. One is bad enough...

dave



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I dont live in Switzerland; I live in France; but if I work in Geneva, I would generate income in switzerland; I imagine I have to pay taxes in the country where the income is generated; so I guess i need to talk to an expert... any recommendations in geneva?
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Old 01.05.2007, 17:22
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Re: Freelance vs Salary?

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If you live close to the border and cross every day, special rules apply, and some horse trading goes on between the two tax authorities. You may therefore end up dealing with two tax regimes. One is bad enough...

dave
We're talking about an American citizen -- so three .
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Old 01.05.2007, 20:04
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Re: Freelance vs Salary?

yep; Three! (argh)
but beyond taxes, do you think it is easy and cheap to set up as a freelancer in switzerland? or is the ease of salary worth the lower pay (25% lower rate for salary than for freelance)
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Old 02.05.2007, 07:58
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Re: Freelance vs Salary?

25% less for a salary is not a huge premium for being a freelancer. Remember you must cover :

holidays
sick pay
unemployment insurance
risk premium.
admin costs
bureacracy
need to justify multiple customers etc etc

On the infoprmation so far given, I would go as an employee and lets them worry about how they administer the tax...

dave



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yep; Three! (argh)
but beyond taxes, do you think it is easy and cheap to set up as a freelancer in switzerland? or is the ease of salary worth the lower pay (25% lower rate for salary than for freelance)
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Old 02.05.2007, 08:53
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Re: Freelance vs Salary?

you are probably right; I wil still look into the freelance set up fees and paperwork, (does anyone know of a website or office in Geneva that might answer my questions,); but for ease salaried is probably the way to go, all of my admin expenses, taxes, insurance, etc, are covered by the employer I suppose-- or at least deducted from my pay check); especially since to start it is only less than one day of work a week... so at 25% more pay as a freelancer, even once my expenses are covered, my administrative headache time would not be covered.
silly "problem", I should be happy to have such choices... at least I found some work in geneva, right? Thanks everyonoe!
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Old 05.11.2007, 12:36
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Re: Freelance vs Salary?

Hi Ana

Are you actually qualified to teach English (i.e. you have TESL certification, or something similar?) I am curious as I am thinking of finding similar work myself here.

Good luck with the triple tax authorities.
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