Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 24.04.2008, 18:37
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
IT Contracting Tax Burden

I have been offered an 8 month contract in Fribourg - the rate is 100chf gross per hour.

A simple question approximately (+- 3 %) what percentage of this gross amount should I expect in my pocket?
Reply With Quote
  #2  
Old 24.04.2008, 19:00
Banned
 
Join Date: Sep 2006
Posts: 1,564
Groaned at 31 Times in 25 Posts
Thanked 1,134 Times in 585 Posts
peachy has a reputation beyond reputepeachy has a reputation beyond reputepeachy has a reputation beyond reputepeachy has a reputation beyond repute
Re: IT Contracting Tax Burden

depends on if the agency pay the employer contributions before that 100chf
Reply With Quote
  #3  
Old 24.04.2008, 19:12
Bananahead's Avatar
Forum Veteran
 
Join Date: Nov 2006
Location: Zurich
Posts: 532
Groaned at 10 Times in 9 Posts
Thanked 287 Times in 131 Posts
Bananahead has made some interesting contributions
Re: IT Contracting Tax Burden

Simply ask the agency offering the contract



Nigel
Reply With Quote
  #4  
Old 24.04.2008, 20:39
gbn's Avatar
gbn gbn is offline
Forum Legend
 
Join Date: Dec 2005
Location: Zuri Oberland
Posts: 2,705
Groaned at 108 Times in 73 Posts
Thanked 2,310 Times in 1,085 Posts
gbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond repute
Re: IT Contracting Tax Burden

Have a play

A revenue estimator
Reply With Quote
  #5  
Old 24.04.2008, 21:16
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

No the agency do not pay the employers contribution before the 100chf.
Reply With Quote
  #6  
Old 24.04.2008, 21:18
Forum Veteran
 
Join Date: Dec 2005
Location: ch
Posts: 2,291
Groaned at 34 Times in 34 Posts
Thanked 1,623 Times in 836 Posts
gooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond repute
Re: IT Contracting Tax Burden

If the agency has told you 100 bucks an hour then that's what you get. If they are getting you in at 100 an hour then it's must be menial labour.
Reply With Quote
  #7  
Old 24.04.2008, 21:23
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

The agent is telling me that the rate is 100 chf per hour before any deductions (including that of Employers contribution). It is not menial labour - but there again I guess that software engineering can seem that way.
Reply With Quote
  #8  
Old 24.04.2008, 21:23
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

Thanks for this link ... it is very useful.
Reply With Quote
  #9  
Old 24.04.2008, 21:29
Lou's Avatar
Lou Lou is offline
Forum Legend
 
Join Date: Mar 2006
Location: Zurich
Posts: 3,783
Groaned at 9 Times in 9 Posts
Thanked 3,227 Times in 1,474 Posts
Lou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond repute
Re: IT Contracting Tax Burden

Quote:
View Post
The agent is telling me that the rate is 100 chf per hour before any deductions (including that of Employers contribution). It is not menial labour - but there again I guess that software engineering can seem that way.
You realise that you will be paying the employers contributions too as a contractor?
Reply With Quote
  #10  
Old 24.04.2008, 21:30
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

The penny has now dropped on that one ... this explains the source of confusion that led me to make this post in the first place.
Reply With Quote
  #11  
Old 24.04.2008, 21:48
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

Quote:
View Post
If the agency has told you 100 bucks an hour then that's what you get. If they are getting you in at 100 an hour then it's must be menial labour.
Do you think that a rate of 100 chf per hour is below the Swiss market rate for a relatively senior software engineer?

(As you may have already deduced I am newbie both to this forum and to Switzerland)
Reply With Quote
  #12  
Old 24.04.2008, 21:49
Lou's Avatar
Lou Lou is offline
Forum Legend
 
Join Date: Mar 2006
Location: Zurich
Posts: 3,783
Groaned at 9 Times in 9 Posts
Thanked 3,227 Times in 1,474 Posts
Lou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond reputeLou has a reputation beyond repute
Re: IT Contracting Tax Burden

Quote:
View Post
Do you think that a rate of 100 chf per hour is below the Swiss market rate for a relatively senior software engineer?

(As you may have already deduced I am newbie both to this forum and to Switzerland)
I think Gooner meant if your charge out rate is CHF100 then you are getting a bum deal as the agency fee would have still to come off. If it is CHF100 to you then in today's market that is a decent rate.
Reply With Quote
  #13  
Old 24.04.2008, 21:58
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

Yes this is 100 chf to myself ... i.e. the agency fee is a separate transaction between the agency and the client.

Therefore the rate is as you say "fairly decent."
Reply With Quote
  #14  
Old 24.04.2008, 22:03
Forum Veteran
 
Join Date: Dec 2005
Location: ch
Posts: 2,291
Groaned at 34 Times in 34 Posts
Thanked 1,623 Times in 836 Posts
gooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond reputegooner has a reputation beyond repute
Re: IT Contracting Tax Burden

Quote:
View Post
Do you think that a rate of 100 chf per hour is below the Swiss market rate for a relatively senior software engineer?

(As you may have already deduced I am newbie both to this forum and to Switzerland)

It's standard, but then you are expected to know what you are doing. You can earn more if you're a niche genius type.
Reply With Quote
  #15  
Old 24.04.2008, 22:12
Newbie
 
Join Date: Apr 2008
Location: Fribourg
Posts: 8
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
QuantumCortex has no particular reputation at present
Re: IT Contracting Tax Burden

Well this position is taking responsibility for porting a sophisticated thick client framework to a web framework.

Thus perhaps by the end of the project i may end up in the "niche genius" category - although to be honest I am not sure if that is a niche worth filling!
Reply With Quote
  #16  
Old 24.04.2008, 22:14
Dougal's Breakfast's Avatar
Forum Legend
 
Join Date: Nov 2007
Location: Ostschweiz
Posts: 17,846
Groaned at 1,114 Times in 866 Posts
Thanked 48,077 Times in 14,836 Posts
Dougal's Breakfast has a reputation beyond reputeDougal's Breakfast has a reputation beyond reputeDougal's Breakfast has a reputation beyond reputeDougal's Breakfast has a reputation beyond reputeDougal's Breakfast has a reputation beyond reputeDougal's Breakfast has a reputation beyond repute
Re: IT Contracting Tax Burden

As my cousin Sweeney always used to say: "Better to fill a niche than a pie".
Reply With Quote
  #17  
Old 25.04.2008, 18:26
ticino's Avatar
Forum Veteran
 
Join Date: Mar 2008
Location: Zurich
Posts: 853
Groaned at 37 Times in 26 Posts
Thanked 386 Times in 219 Posts
ticino has earned some respectticino has earned some respect
Re: IT Contracting Tax Burden

Quote:
View Post
Do you think that a rate of 100 chf per hour is below the Swiss market rate for a relatively senior software engineer?

(As you may have already deduced I am newbie both to this forum and to Switzerland)
I know that for management consulting type of work (reorganizations, cost cutting, strategy support, etc) you can get 250-300 per hour. So, 100 sounds rather low for a senior software engineer.
Reply With Quote
  #18  
Old 25.04.2008, 20:45
gbn's Avatar
gbn gbn is offline
Forum Legend
 
Join Date: Dec 2005
Location: Zuri Oberland
Posts: 2,705
Groaned at 108 Times in 73 Posts
Thanked 2,310 Times in 1,085 Posts
gbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond reputegbn has a reputation beyond repute
Re: IT Contracting Tax Burden

Quote:
View Post
I know that for management consulting type of work (reorganizations, cost cutting, strategy support, etc) you can get 250-300 per hour. So, 100 sounds rather low for a senior software engineer.
100 per hour is standard or even above average now... it's a buyer' market.
Plenty of IT blokes looking for a job.

There is also a big difference between McKinsey style management consulting guru and code monkey hired help.
And everyone describes themselves as "Senior Code Monkey". Even me
Reply With Quote
  #19  
Old 25.04.2008, 21:13
Treverus's Avatar
Forum Legend
 
Join Date: Dec 2007
Location: Luxembourg
Posts: 11,145
Groaned at 279 Times in 237 Posts
Thanked 20,780 Times in 7,553 Posts
Treverus has a reputation beyond reputeTreverus has a reputation beyond reputeTreverus has a reputation beyond reputeTreverus has a reputation beyond reputeTreverus has a reputation beyond reputeTreverus has a reputation beyond repute
Re: IT Contracting Tax Burden

Reply With Quote
This user would like to thank Treverus for this useful post:
  #20  
Old 25.04.2008, 22:45
ticino's Avatar
Forum Veteran
 
Join Date: Mar 2008
Location: Zurich
Posts: 853
Groaned at 37 Times in 26 Posts
Thanked 386 Times in 219 Posts
ticino has earned some respectticino has earned some respect
Re: IT Contracting Tax Burden

Quote:
View Post
100 per hour is standard or even above average now... it's a buyer' market.
Plenty of IT blokes looking for a job.

There is also a big difference between McKinsey style management consulting guru and code monkey hired help.
And everyone describes themselves as "Senior Code Monkey". Even me
Oops - wasn't aware that the difference is so big. I would have thought at a 100 per hour there's no point in being self-employed - you take all the risk + all the cost.
Reply With Quote
Reply

Tags
freelance




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Contracting out of Switzerland hans123 Permits/visas/government 3 05.11.2007 16:57
Contracting in Vaud angelico76 Business & entrepreneur 10 29.07.2007 12:43
Contracting in Zurich janek Employment 1 14.06.2007 23:43
Accomodation while Contracting Music Mole Other/general 8 31.08.2006 19:06


All times are GMT +2. The time now is 05:12.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0