need advice, move from full time to contractor at FB?
wondering if I should make the switch from full time to contractor at facebook... current comp is 🥜🥜 FB comp is about 30k more (more than 20% bump but benefits are unknown, I’m assuming minimal to none). I’m not sure if I should make the jump, I’ve heard contractors don’t get treated super well and my end goal would be to get a full time position in FAANG. Is the name worth it for my resume? I currently have less than 2 YOE.
Even Facebook full-timers have bad WLB, imagine how terrible the WLB is for Contractors then.
Think about all the other costs you will have to take on yourself. Also, TC with no equity. Your future == equity not what ur base is. Healthcare is not cheap, and saving for retirement is not cheap. Then again, you don't have a lot of experience and you're early in your career. It's a good time to be a contractor. But idk how that move from fte to contract or at FB will be.
What area is it in? Is it in a similar role to your current or a different role all together? Will it give you learning or future opportunities?
Take into account your increased costs -- increased tax rate, healthcare costs, etc. You would be taking a significant net pay cut on that move.
This is specific to 1099 right? That was not mentioned, as contracting for Facebook could imply working through an external company.
30k more than 🥜 is still 🥜🤭
Based on the numbers provided, in the ballpark of 150k -> 180k. if 30k is a 20% increase
Contractors pay more in taxes. Not sure about FB but many companies have very strict policies about not making hourly employees go overtime so that's a plus
Self employment tax is 15.3% over and above the income tax you will also owe -- the "employer" portion of that can be deductible, but you will want to be prepared for whether or not this is actually financially advantageous for you. If you're not comfortable and familiar with calculating the tax end of things, it might be wise to talk it over with a tax/finance professional. https://www.fool.com/taxes/2018/01/17/self-employment-tax-in-2018-heres-how-much-youll-h.aspx
OP, most people are answering assuming 1099. 🙈Blind Advise🙈. You haven't mentioned it and it would make a big difference is the effect of the increase. Is this job 1099 or W2?
99% chance it’s a W2 contractor role. FB mostly places contractors through vendors. I was in a similar position in September and ultimately ended up taking the contractor role at FB. So far I’m pretty happy with the decision.
What is w2?
Google it. In this context, a 1099 contractor bills FB themselves. Most FB contractors work for a vendor (e.g. TekSystems). These types of contractors simply input their hours somewhere, and their vendor handles the billing and taxes for them, issuing them a weekly paycheck and W2 at the end of the year for taxes.
It's not a bump, it's a cut. Contractors get no benefits.