Contractors

Essential Info

A contractor is anyone who is employed on a contractual basis, either for a particular job or for a set period of time.

In agriculture contractors do a wide variety of jobs, fencing, yard building, mustering, harvesting, header driving, tractor driving, truck driving, earthworks, grader driving etc.

Starting Out as a Contractor

In order to start up as a contractor you will need the tools of your trade, all of which will be expensive and there are also ongoing costs such as maintenance of vehicles, fuel etc. One of the biggest expenses will be insurance, contractor insurance is usually taken out to protect you against potential risks and liabilities that could arise as a result of the services provided under the contract. The cost of the insurance will depend on what tasks you undertake and the range of cover required but can easily be your biggest expense.

Salary or Wage

Your daily rate will be dependent on your experience, how much of your own gear you have, the going rate for that type of work and what you negotiate with the employer. You will need to charge GST as you are providing a service so take that into account when working out what to charge. You may also need to register for GST with the tax office if you earn or think you will earn over a certain amount, see the followings links for more information.

Tips and Advice

Make sure you have your insurance worked out because without it you could end up in serious financial difficulty if you have an accident of any kind.

Contracting can be expensive to set up but once established means you are your own boss, can work when you wish and you have the potential to make an great income!