IT contractors often enjoy a great degree of flexibility.
Following a recent report that marked a drop in the number of online vacancies, those looking for IT jobs in New Zealand may have to rethink their approach.
According to the Ministry of Business, Innovation and Employment, the number of job listings for skilled roles remained relatively stable, recording a slight decrease of 0.1 per cent in August. However, the IT sector took a hit last month, with listed vacancies dropping by 3.2 per cent.
Despite the lack of activity seen on job sites, there are a number of other channels that can offer better opportunities in New Zealand. To secure project work as it arises, IT contracting may be a worthwhile consideration for an exciting new career pathway for many professionals.
The rise of contracting
Over the past decade, this type of employment structure has been growing in popularity and IT contracting is no exception.
Xero pointed to the growing popularity in cloud computing as driving the trend in IT contracting. Mobile solutions have also made it easier for people to work in locations away from the central office.
This style of work can offer a number of key benefits for individuals. One of the most appealing factors is the control and flexibility these roles offer. IT contractors negotiate their own working conditions and have the freedom to work to their own schedule. As long as they meet project deadlines, contractors can work whenever or wherever it suits them.
Another significant benefit is the changing nature of the work. Rather than staying with one company in a year, for example, a contractor will interact with many different organisations in the course of 12 months.
Should you consider contract work?
There are a number of factors that an individual needs to address before becoming a contractor.
For starters, contracted workers must take control of their own tax and invoicing. They are required to register with the Inland Revenue Department and are responsible for understanding and meeting obligations.
Mistakes are common amongst contractors, including failure to account for GST on their earnings, missing deadlines for IR3 income tax returns and incorrectly splitting income with a spouse. Contractors must therefore have a good grasp of their finances and be aware of tax and income regulations.
While moving from project to project can be exciting for some, it may not be a good fit for someone who is looking for stability. If you are the sole breadwinner for a family, for example, this type of work may be sporadic and therefore unsuitable for regular income.
To succeed in this market, you must be ready to network and be actively looking for opportunities. Individuals with determination and tenacity will be the ones to find success in securing opportunities in New Zealand
