freelance bookkeeping wants to w2 employee

As mentioned earlier, pursuing employment alternatives gives independent contractors access to a wide range of organizations, administration types, and business contacts. Since many firms can't meet all their needs with existing personnel, consultants have access to a wide range of opportunities. Building Skills and ContactsĬonsultants typically work on initiatives that require specialized abilities, quick turnaround, and high-level area data. Working with an accountant could be a big help to corp to corp consultants.

One distinction to notice with such an arrangement is a higher degree of accountability on the consultant's side to pay all of his or her personal taxes due. Corp to Corp consultants wouldn't have payroll taxes deducted from their paychecks, giving them quick access to their earnings for spending or investing. By pursuing a variety of contracts, consultants are capable of speeding up their income potential while gaining access to new opportunities and business contacts. Having a corporation can shield you in the chance of a lawsuit, money owed, etc.Ĭonsultants typically earn higher wages than their salaried counterparts - this consists of independent contractors working corp to corp.You will have your own individual enterprise.Leverage your business for tax savings that you simply couldn't have as a W-2 worker or a sole proprietor.Increased pay, as most C2C preparations generate a pay increase of 10 percent+ over W-2 salaries.Some of the advantages to being an independent contractor with a corp to corp arrangement include: It reduces the chances that the employer might be audited for worker misclassification.It cuts employment dangers (it's tougher to sue in a C2C relationship).Employers favor corp to corp arrangements for three main reasons: Corp to Corp implies that you must own a corporation, an LLC, or an S-corporation. In this method, their 'corp' might be paying your 'corp' as an alternative to paying you personally. 'Corp to Corp' (C2C) implies that as an alternative to paying you, a person, you'll need to have an LLC or corporation that another business will pay for your services.

Updated June 23, 2020: What Does Corp To Corp Mean for an Independent Contractor?

Freelance bookkeeping wants to w2 employee