1099 Contract for a new grad

[bwt02]

I got an offer for $88/hour as a GRNA then $98/hr after cert. THe position is a 1099 with zero benefits paid (no vacation/ med/dental/retirement/ect). 40 hours per week and no scheduled call. I would like to hear from other recent grads and experienced CRNA's on their thoughts of such a position.

[Tranman]

Also don't get me wrong. I am NOT saying a 1099 is better than a W-2. 1099 works better for some people. One example is that Single people or couples who are young and don't need comprehensive medical insurance. You can buy your own insurance for much less, insurance that you're not likely going to use anyway. I do agree with everyone in that you have to sit down and consider everything about an offer before signing the dotted line. That is sound advice offered by all.

And guys don't neccessarily be swooned by the Anesthesia groups that offer great benefits, malpractice, diability, paid CE time off, etc. Calculated out the total package worth. For example $180 (total package). The anesthesia you provide for these groups is probably worth around $300K in anesthesia billing. Guess who's pocketing the rest. Yeah, you're friends in the anesthesia office drinking coffee while you do cases.

These things you'll learn once you're in the business of anesthesia. Good luck all.

[Alpha13]

Great posts Tranman. I was very surprised to see others saying that a position paying $98 an hour to a new grad wasn't worth it! I've never worked as an independant contractor but, for me least, there would have to be some serious drawbacks for me to consider a salaried position paying $30/hr less

[Tranman]

Thanks. Again you have to look at all the specifics of any offer. You can post a job offer and everyone here will give you their take on it.

I hope I am making myself clear. To avoid being misunderstood, I feel like I have to do more explaining.

There are certain things you can successfully negotiate for even as a new grad. For example, the amount of sign on bonus, and moving expenses. I do also advocate always negotiating. You have nothing to lose except offending the other party. You can avoid this by asking tactfully. They can always say no. And of course you never know, they might just say yes. This is NOT at all contradictory to what I said about new grads not having work experience and not negotiating. Look, you can always negotiate and I will always urge you to, but I highly doubt that as a new grad with NO experience you can successfully negotiate your salary up (that much) as some may think. Negotiating your salary as a new grad may in fact cost you the job. They are looking for motivated individuals that want to be team players and want to join their specific group. Groups are NOT looking for financially needy individuals.

Also $30 less per hour on a W-2 is close to $100/hr on a 1099. Here's the breakdown (according to me). $30/hr over a yr is ~ to $60K/yr. Benefits usually run about $30K and Vacation at $5K/wk x 6 wks = $30K => $60K.

So a job that pays $140 on a W-2 with full benefits (health, dental, malpractice, disability, 401K, etc) and 6 wks of paid vacation is equivalent to $200K on a 1099. The financial difference now depends on availability of

OT, time and a half vs hourly wage for those OT hours, sign on bonus, moving expense reimbursement, tax write offs (deductions). This can sway your decision one way or the other..

Other things to definitely consider. The group, how supportive are they of new grads, CRNAs, etc. Why they are needing more CRNA's. Was it b/c the previous CRNA's left b/c of unfair treatment or did he/she retire. Big difference. Call vs no call, OB and Peds experience (reccommended), type of cases, case load, (basically - what type of work experience and knowledge can you gain from working at this institution).

Finally, the state/city/town. The area. cost of living, cost of housing. crime rate, weather, fun activities to do during your time off.

Let me state this clearly. Many CRNA's that I know who have made the BIG bucks will all tell you that the money IS NOT worth it if you have a crappy practice, live in a crappy place, or are working all the time. You must be happy with the group, the work, your living environment, and have time to enjoy the money, otherwise it is pointless. Money is nice, but is not the answer to everything.

Sorry to be so darn long winded, I hope these post are helpful to even a few people out there. Good night...