When it comes to employment, it can be hard to know what’s the best option. Is self-employment or agency employment the way to go? Which can offer us exactly what we want?
Here we look at both options and what they can offer.
Self employed
BYOB (Be Your Own Boss)
Being self-employed means that you’re always the boss so, aside from your clients, the only person you answer to is you. You decide when you work, how you work and with who you work.
Potentially demanding client? Pass. Working long hours and weekends? No thanks. Job outside your scope? Move along.
Choosing who you employ is also advantageous as you can ensure that they’re the right fit in terms of skills, work ethic and personality.
Potentially earn more money
Being able to dictate your own hours and charge rate gives you the potential to earn more money than if you’re directly employed by an agency or client.
There are many costs you can charge for that you may not be able to as a hired employee. Think travel time and higher rates for out of hours fees, not to mention deductible expenses.
Being able to deduct certain expenses, that employees are not, means you get to keep more of your earnings. It’s a double win – accumulate money and tools to do your job both at the same time.
Set your own schedule
Being in control of your own schedule means you can lock in work for the days and hours you want. Provided you have the clients, you can decide to work as much or as little as you wish.
Having this kind of control helps to ensure you have a healthy work/life balance and means you can make personal appointments in the week or be there to pick the kids up from school.
The downsides
While there are many positives to working for yourself, there are also some downsides.
Working for yourself means that you don’t get the employee benefits that you would if working through an agency. Say goodbye to sick leave, holiday leave and time off in lieu.
Similarly, you must stay on top of all the paperwork associated with your job such as expenses, super contributions and any employee pays. Such paperwork can be both stressful and time consuming.
Being self-employed also comes with the stress of having to find your next job and can mean long work hours on the months when cash flow isn’t good. The risk of loss is significant.
Agency employed
Security and opportunity
One of the biggest attractions of being an agency employee is the security that it offers. Job security, ongoing work security and financial security.
As an agency employee you have access to clients that you may not have otherwise. Agencies have established long term relationships with multiple organisations and so can get you a foot in the door. They’re often also in the know about roles that won’t be advertised.
Taking on contract or short-term roles enables you to experience working in a range of different companies, and temp to perm roles offer you the chance to ‘try before you buy’.
Financial security
A regular paycheck is as welcome as a hot drink in winter and many agencies pay weekly.
Knowing where you’re at with your finances offers peace of mind and allows you to plan better. That holiday suddenly doesn’t feel so far away.
Set hours
As an agency employee you’ll be required to work a set number of hours within your role. While this may change from time to time, particularly for shift workers, it will generally be consistent. This has multiple benefits.
Working to a regular schedule means you can plan things better and, as a result, your work life balance will be healthy. At the end of the day, you can switch off from your job and relax, with no need to do admin, taxes or catch-up jobs.
Other pluses
In addition to the above, there are other benefits of being an agency employee.
You will have a constant point of contact and support at the agency, they will cover any necessary insurances, search for suitable jobs on your behalf, offer career advice and provide clear expectations from the start so there’s no room for confusion.
When it comes to employment choices it’s very much a case of no one size fits all. Whether self-employed or agency employed, it’s about what works for you. We spend a lot of time at work, so being happy is the key.
Author – Unidex Healthcare Recruitment
