Working as a contractor--questions part II
- by universe_hacker
This is a follow-up to this discussion:
Working as a contractor--questions
I still would like to get more info on the following points, when working as a contractor as opposed to direct employee:
Housing: for short-term contracts (let's say 6 months or less) that are not in your home area, where and how do you search for short-term, flexible housing? Especially since an employer would typically want you to start immediately, so you don't have the time to go out and explore. Also, would you typically look for furnished apartments because the cost transporting your own furniture for a few months is not justified?
Work hours and pay: are contractors more strictly supervised (as far as getting specified work done) because they get paid by the hour? There are also supposed to get overtime pay (at a higher rate) if they work more than 40 hours per week, does this really happen? Or do they work unpaid extra hours just like many regular employees?
Some potential employers have mentioned paying the "per diem", which is essentially a non-taxable daily allowance, which is supposed to be used for living expenses. This money gets subtracted from you per-hour rate, but the advantage is that you pay less tax. However, from the information I have seen, the per diem can only be paid if you maintain a "permanent" residence you intend to return to. Is this checked in practice, and if yes, how?
