Jay

Earning a Living as SR: T1 Employee (100k-$300k) or Independent Contractor (0-$500k+)? When you read CT it feels like everyone here is either making $100k on a slow month or is doing a boot-camp to be a plumber. I'd like to sketch a more realistic picture based on my own situation and my industry knowledge. Specifically the difference between being an employee of a top firm or going the independent contractor route (NOTE: you do need to be in the 1% for this to even apply). Independent Contractor: - Charge $5k-$20k a week - Beholding to No One - If you're in the 0,0001%, you print money Sounds awesome and there quite a few people going this route. Charging $10k/w is HALF a Million a year, which is life-changing money. But there are few caveats: - Asking $10k/w != Getting $10k/w - Being booked for 1w =! being booked for 52w It is very volatile and your earning capacity is strongly dependent on your niche and it's current popularity. If you're the first expert on a domain and it's hype season, you will be making bank (f.e. @movebrah). But if hype is gone and/or there many more people with the same niche expertise, you will be struggling. I know multiple people who were making insane money at the beginning of the year (50-75k/m) only to get zero work for multiple months, often forced to lower their rates substantially or join a company. Still, if you are one of the absolute best, it is a road to riches. Employee: - Stable Income (soft-cap 300k for audit firms) - Security and Benefits - You do have a Boss This is my route and I am honestly biased towards it. The main downside is naturally that your income is fixed and you won't reach those insane amounts. But at the same time there are many benefits (paid vacation) and having a company that backs you is important in our stressful occupation. Some examples: - Back from Londen trip with food poisoning & lung infection, in bed for an entire week (fu UK 💀) => "np we got you, rest up" - I want to go to a conference on vacation => "np, here's a conference budget" - I want to do a bootcamp => "np, off course we invest in your education" - Can I..... => "np, we got u" It's awesome to be part of such an organisation and from a skill development standpoint I honestly can't think of a better environment. It's still great money and riches will come in due time. So there you have it, two routes which are both honestly great. Personally I'm happy with the second but I'm also older with 3 children so my risk tolerance is quite a bit lower. P.S. Yes there are individual exceptions, like Ronaldo is an exception compared to champion league footballers. So unless you're him, exceptions don't apply.