What is Contract Programming? An Alternative to the Conformity of Everyday Employment

What is contract programming, you ask? Well, when2) Generally gets paid top-dollar for his or her work.
companies need specific computer programmingMany earn $100 or more per hour for 40+ hours a
expertise, for temporary periods of time, they generallyweek.
hire a contract programmer or an employee of a3) Can take as much time off from work as he or she
consulting firm. Contractors almost always have apleases, while in-between contracts.
higher hourly wage than a salaried employee and are4) Has independence from corporate politics.
often paid for overtime. Contracts can last from one5) Has the chance to live wherever she wants or live
to three months to many years, depending on thein different places as determined by the particular
situation. A contract programmer generally does onecontract.
thing: program (code) for the duration of the contract.6) Is often seen as an expert in his or her field.
So, contract programming is just an area of computerMore work for "1099" contractor
consulting. Other areas of computer consulting includeThese points apply to the "1099 contractor" as well, but
custom developers, network consultants andthe "1099" contractor has more work to do in filing
information technology (IT) consultants. The contracttaxes, corporate paperwork, advertising and searching
programmer can work via two forms of contracts: 1)for her next contract as opposed the "W-2
"W-2 " contracts and 2) "1099" contracts.contractor," who basically makes a few calls to her
There's the "W-2" contractorfavorite brokers and tells them she is ready for
The "W-2 contractor" receives the typical IRS W-2another contract and the brokers do the job-searching
form at tax time and works as a temporary employeefor her. Now, everything I've said thus far is pretty
of a contract broker or some form of employmentcut-and-dry, so let's take a look at a more elusive topic:
agency. The contract broker basically acquires awhat qualities make a good contract programmer.
contract with a client company and hires theSigns of a good contract programmer
contractor to work on that contract for them. BrokersOver the last decade, I have met and worked with
make their money by charging the client an amountmany varied computer programmers. From this
over your agreed upon hourly rate. In this form, theexperience, I have devised the following list containing
contract programmer is a temporary, hourly employeewhat I believe makes a good potential contractor
of the broker's company and this is the form that isprogrammer. A good contract programmer:
easiest for the newcomer to obtain.1) Makes computers an avid hobby of his. When he
And the "1099" contractorcomes home from work he plays with or hacks the
As a "W-2 contractor", your broker a.k.a.: temporarycomputer trying to improve its performance.
employer or agency will collect taxes from your2) Tries to learn more about computers than his peers
paycheck, just as if you were a regular employee. Thedo and he also likes to program the computer to have
"1099 contractor", can still work through a broker, butit do "cool" things.
gets paid on an IRS form 1099 and must take3) Has often dreamed of being an expert, high-paid
responsibility for paying all applicable taxes herself. Thiscomputer professional.
"1099" form is for, in IRS lingo, "Independent4) Has learned how to master the art of studying
Contractors." Independent contractors have morecomputer science.
work to do before they get a contract: they have to5) Spends his free time reading computer books and
market themselves like any other business. Thismagazines -- yes kind of geeky!
includes brochures, business cards, web sites,6) May like to build his own computer systems and
networking, etc. They have to consider obtaining moreenjoys tweaking and upgrading them to extract the
forms of insurance that may include general businessmost performance from them.
liability and errors & omissions insurance. They7) Is very professional and humble.
also generally have to form a corporation in order toYou've got to love to do it!
work for certain companies. The pay back for thisThese really are just some of the basic qualities of
extra work is a higher hourly rate. To the beginningsomeone who loves computers and loving computers
contractor, I always suggest starting out as a "W-2"is really the main ingredient for a successful career in
contract programmer because it is generally thecontract programming. If you don't love doing it, you will
quickest and easiest path to becoming a contractnot survive. If you do love it, it will be a joy to go to
programmer and the best way to determine ifwork every day and to continually update your skills.
contracting is the right career choice.The computer field changes rapidly and only someone
The "W-2" contractor is like a typical employee...almostwho really loves computers and makes it his hobby will
The main differences between a full-time employeehave the desire to continually upgrade his skills and be
and an hourly, contract employee working for a brokerthe best he can be at all times. If you possess most of
are, the contractor:the seven qualities listed above and like the idea of
1) Will probably have to pay for his or her own healthusing your hobby to catapult yourself into a high-paid,
and disability insurance, which amounts to very littlefulfilling career, even if the economy is down, you
compared to the increased income one usually sees.should consider a career in contract programming.