A community of 30,000 US Transcriptionist serving Medical Transcription Industry

Independent versus full time employee - ship24

Posted: Sep 14, 2010

What is the benefit of working as an independent? Is the pay different?

IV versus employee - 1mt

[ In Reply To ..]
There have been many discussions about this before. Base pay as far as $ per line is about the same. As an IC, you are responsible for 100% of your taxes, there is no employer contribution. You also do not receive any benefits whatsoever, no sick pay, no vacation pay, no holiday pay, no health insurance, no 401K, etc. However, you do get a better tax benefit in that any expenses you incur to perform your job can be a tax deduction, your monthly utilities, paper, pens, etc. As an IC you are supposed to be able to choose when you work and how much you work, but in many situations it does not work that way and the IC is treated more like an employee if you are dealing with an MTSO. As for me, I am an IC and have no set amount of hours or lines required to meet and do not have a set work schedule at all. I just have to make sure my work gets done within the day. That is the #1 reason I continue to be an IC versus employee, because I can come and go and do my work whenever I choose, as long as it gets done. I think that the pay per line for an IC should be higher, and maybe it was at one point in time, but it's not. Just another way for the MTSO's to get a little extra in their pocket since they're not paying out any insurance or taxes, but yet they're still paying the same amount to the IC as they would an employee.

haha - s/b IC versus employee - 1mt

[ In Reply To ..]
.

Biggest difference for me is... - scheduling.

[ In Reply To ..]
When I was an employee, I was required to be available to work from 3-11 pm regardless if there was work. If there wasn't work, I was required to make up the time. If I couldn't make up the time due to no work, I had to use my PTO time, so I never got vacations anyway since all my PTO time was used up the minute I accumulated it. I also couldn't afford the benefits they offered, which really wasn't much of anything anyway. Overall I decided there was no benefit for me to being an employee.

Now as an IC, I do have to set aside my own taxes, but I now also get tax deductions I wouldn't have gotten before. I also set my own schedule and work when I want. If I log in and find no work, I don't have to stress about making the time up or using PTO time. Life has been much less stressful for me since switching to IC. I know it is not for everyone, but I prefer it.

There are two types of IC and it makes - a difference

[ In Reply To ..]
This is the REALITY albeit not a widely held view.

There is IC which was nicely broken down for you above. Where you get clients, you make ALL the rules (well as long as the client agrees) and you call all the shots for yourself. If you are off, no one is doing your work so you either get coverage or you will work your butt off after a few days down time.

Then there's the IC that many MTs like to hire. This is most often a misclassification but short of an industry wide overall, it is what it is. In essence, the MTSO is your client. So YOU should be submitting a contract to THEM, or at the very least, making you sure AGREE with everything in THEIR contract, changing it if you do not. Most often, you will be asked to notify them of a schedule or they will be telling you what schedules they have available and you will pick one. They will then expect you to adhere to that. That does NOT disqualify you as an IC.

From what I've seen of late, there's very, very little difference between pay being offered to IC or employee if you go the second IC route - where MTSO is your client. Even considering that as an employee you would possibly get PTO, access to benefits (usually with some contribution by the MTSO), and your self-employment tax paid (SS), you are better off as an IC - given that the cents per line paid for both is relatively close.

For instance I make 10 cpl as an IC but have the option of becoming an employee for 9 cpl. In the end, financially, I make out better staying an IC and buying my own health benefits.

Similar Messages:

Jan 16, 2011

Can anyone tell me if there are any advantages to being an independent contractor versus an employee? I'm worried about being able to set aside taxes if they are not taken out automatically -- I work because I need the money and would prefer to not have to "bank it" for taxes later. Seems like it is getting harder to find employee status jobs thay are not voice recognition / editing positions. ...

Mar 13, 2015

Can someone tell me which position is more financially rewarding? Do ICs get 401k and whatnot? Basically, can someone tell me the differences between the 2? Thanks so much. I am an idiot with money and taxes. ...

Apr 30, 2013

If anyone knows of a hospital, clinic, or large practice offering remote full-time or part-time employee positions, I would really appreciate an email. I have the sudden need to help support a family member long term (in addition to myself) and really need to find a long-term remote employee position for the stability. Yes, I watch all the various employment sites and even individual hospital sites, but I was hoping that maybe, just maybe someone who works for a hospital that does th ...

Jan 10, 2013

I'm curious as to the difference between the benefits for part-time versus full-time employment. Are they the same? ...

Jan 08, 2013

Does anyone know of any hospitals that hire directly for employees to work at home? I am looking for full-time employment with benefits - NOT through an MTSO. I don't care if it is hourly or per-line pay. 18+ years of experience. ...

Jan 18, 2011

This is concerning work. There is one question on the questionnaire that asks if I want to be on independent contractor or employee status. Could someone please explain exactly what the difference is and the Pros and Cons of such. Thank you in advance. ...

Jul 24, 2012

I've just started working as an independent contractor and I was wondering if an IC can work more than 40 hrs. a week, since not working as an employee. This is all new to me. I've always worked as an employee before. I just couldn't handle the VR anymore. It's a joke and decided it was time to "just say no!" The big boys came up with it and they can deal with it. Not going to ruin my health (body and mind) anymore for minimum wage! That being said, I'm very willin ...

May 06, 2010

I am wondering what the average for part time and full time status is either if it is done by line count or hours. Thanks so much! ...

Dec 08, 2011

Has anyone working for an MTSO been downgraded from full-time status to part-time status based on not enough hours worked to be considered full time, yet making well above the minimum amount of earnings required for full-time status? ...

Nov 03, 2010

nm ...

Apr 09, 2011

I worked for MQ full time and then went to part time last year, before finally quitting altogether because of health problems. I seem to remember an obscure policy that if you were full time and then went to part time, you could not go back to full time for a period of at least 1 year. Can anyone verify that for me? IF, and this is a big IF, I were to go back to work for MQ, I would need to be full time. ...

Sep 27, 2012

Wow, now I have something that could have caused someone to die. Right at the end of a long report, VR shows the patient is DNR DNI, when he really said the patient is full code! How easy that could have been missed! ...

May 14, 2011

This post is not what you probably thought it was going to be. I am not going to list the pros and cons of being an IC or am employee. It appears that MTSOs are "fudging" on these two classifications of workers to get the advantages. For example, as an IC you make your own hours. There is no schedule; that is the nature of being an IC. Yet these MTSOs want you to work a set schedule. Another example: You are hired as an employee. Because you're an employee, you shoul ...

Aug 02, 2011

Would anyone care to share their preference as to IC versus employee? I am curious as to which is best and thinking of switching to employee status. ...

Apr 17, 2012

Can anyone give me feedback on switching from IC to an employee from home? I'm thinking about doing it but unsure if it would be wise .. It seems like the grass would be greener on the other side (in terms of benefits, W2 status for taxes, etc) but I hate to give up my freedom as IC unless it is REALLY worth it in the end. Also, is making 8 cpl after 4 years reasonable wage? Thanks for any input!! ...

Mar 26, 2013

I just started as an IC with a company I really like but they want me to work 8 hours a day. No problem. But it has to be a set time each day on a schedule submitted in advance and I have to let them know in advance if it changes. Now the reason I work as an IC and give up the benefits is so that I have flexibility. I had thought that as long as I work the number of hours during the morning or afternoon they want, I can't be held to a set schedule. Why do companies ALWAYS think they can ...

Nov 19, 2011

Does anyone care to share that if you are hired at optiscript part time will they let you change to full time easily? I know they are a small company and do not over hire so I do not know how easily this could be done. I am thinking of cutting down to part time at my current employee so I can work part time elsewhere and eventually just leave my current employee once I see how the land lays elsewhere. Any insight on this would be greatly appreciated :) ...

Feb 13, 2012

Since part-time is generally considered 20-25 hrs. per week, does that mean that full-time is anything over 25 hrs. per week or does it have to be a flat 40 hrs? ...

Mar 21, 2012

I am strongly considering going to part-time, just hoping to get opinions from anyone who has gone from full-time to part-time or opinions from anyone who has just always been part-time. Thanks! ...

Apr 26, 2012

Would anyone be willing to post info on this? I am considering switching to part-time. Wondering how amenable the company is to such requests. If you have done this, were you able to keep same schedule or were you forced into a different schedule? Thanks for any thoughts! ...

Aug 08, 2012

Has anyone been allowed to go from full-time to part-time employment with Nuance? Were you able to keep the same basic schedule? I won't be ready to do this until early next year, so not asking HR at this point. Thanks for any responses! ...

Aug 08, 2012

I see the post about going from full to part time, but what about the opposite? For example, if I get hired at 30 hours per week and I have extra time available for a few weeks, can I consistently work more hours than those scheduled 30 hours? Thanks for any insight you can give. ...

Sep 10, 2012

I am still debating whether to enroll at Andrews or M-TEC. My husband is retiring in 2 years and I want to be able to work part-time after that. Is it realistic to think that I can complete the course at Andrews or M-TEC in 12 months at the most, work full time for a year and then part-time after that. I would want to be able to work from home. I guess the other question is "How long after graduating could I expect to earn enough to make it worth the investment, in a reas ...

Feb 18, 2013

I hired on at full time but want to drop 2 hours off a day. Do they make you change shift or accounts in that case? I don't want benefits so don't care about that. I worked at Nuance and any change in schedule ultimately ended up in an account and/or shift change. TIA ...

Mar 04, 2013

from full time to part time w MM? I am so burned out trying to work full time hours, I honestly think I would get the same pittance of a check working part time. Thanks. ...

Apr 26, 2013

same company? If so, was it a good decision? I'm thinking of doing that. Thanks. ...

Jun 18, 2015

Just asking if anyone knows what is considered full time for Imedx and what is considered part time? ...

Nov 03, 2009

I'm looking for opinions on widescreen versus full screen LCD monitors for MT. I have a widescreen, but I'm thinking that a full screen monitor might be easier on my eyes. Any opinions? TIA! ...

Nov 23, 2009

I have an interview tomorrow with a company for PT employee status. I have been an IC for many years and love it. I am a bit concerned about going employee as I am used to the flexibility of being able to take time off for my kids' school parties, fall, winter and spring breaks and such without it affecting my job. Can anyone give me a clue as to how employee status works and if some companies are more flexible than others?? I would love to stay an IC, but haven't f ...

May 09, 2011

I have an opportunity from two different companies. One is IC and the other as an employee. I have been an IC for so long. What is the pros and cons of both. TIA ...