Independent Contracting/S-Corps?Benefits Etc.

[DIVER CRNA]

Hello All,

I am a new CRNA desiring to do so Independent contracting as opposed to going on staff. I have an opportunity now to join a practice as an employee with benefits, or work as an contractor at 105/hr.

I am looking for some insight into tax advantages, how to get health care benefits privately, etc

any fo would be greatly appreciated--PM me Please!! Thanx Jeff

[dfk, RN, CRNA]

Hello All,

I am a new CRNA desiring to do so Independent contracting as opposed to going on staff. I have an opportunity now to join a practice as an employee with benefits, or work as an contractor at 105/hr.

I am looking for some insight into tax advantages, how to get health care benefits privately, etc

any fo would be greatly appreciated--PM me Please!! Thanx Jeff

hey jeff,

i too have looked into the "1099" vs "W-2" options.. as you may know, with 1099, you will earn more money, but you have to do all the work as well, such as pay your own taxes, insurance, malpractice, etc... with W-2, your employer will take care of all that, but you may have less take home.. i have a friend who is in the business of payroll, and i contact him frequently regarding such issues... his comment was "bottom line is this, you will make more and bring home more with 1099".. now, stating that, it is not an across-the-board guarantee...

[suzanne4, RN]

Also is dependent on the state where you will practice and incorporate. And what private insurance is available for you as far as health, and what the malpractice insurance rates for your area. Disability insurance, etc.

Workman's Comp if you want to be covered under that. As a single employee of the corp, you can opt out of that, but that is another that you take.

And when you figure in the benefits that the job would provide, such as paid vacation for x-number of weeks, usually about one month; you need to calculate that in as well.

But the biggest issue will be the state that you will be practising in.

[Businessman]

http://www.nchinc.com/faq-structure.htm#ccorp

This is a good link to give you the lowdown on the main differences between various legal entities.

Rule of thumb: you'll need to make 20-25% more as an 1099, to break even.

Also, ask yourself: are you detail-oriented?

Will you be able to do the accounting yourself? Keep up with the new changes in accounting every year? The main advantage of 1099 is to deduct as much as possible: car, gas, dinners, other purchases as well.

If you answered yes to all the questions, than go with 1099. You'll make a lot more money.

:monkeydance:

[sandals]

is the advantage not to the agency that is paying you a 1099. since they are not paying taxes on that money but you are. the nurse thinks she is getting more money but in the end, she will need to pay and file her own taxes on that and pay more than had she just gotten less with the company taking the taxes out. as a travel company, should i be offering 1099's?