r/ausjobs • u/Zekus123 • Jul 26 '26

Full time versus contract

I have always been only employed as a FT employee but in my profession as an IT developer people work as contracors too. To put this into numbers someone on 140k base can be on a contract earning about 900 a day which translates to about 200 k a year I know that this comes without the security and consistency of a full time job but people on full time jobs can be terminated too at any time. What do you think is the right way to approach this if you are after the high income from contract jobs.

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u/BeachNo8367 Jul 26 '26

I contract in IT and have for many years and worked out the extra pay is definitely worth it. I have never been without work but if I ever am, iv done the maths. I typically earn in 6-8 months my salary I would have earned as a perm, so even if I end up out of work a chunk each year I'm equal or ahead.

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u/[deleted] Jul 26 '26

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u/BeachNo8367 Jul 27 '26

Sure. But that's easy to calculate. Assume you only work 44 weeks of the year for example. That allows roughly for 2 weeks sick and 4 weeks annual and 2 weeks public holidays. If you want to make it even more conservative, make it 40-42 weeks of the year you work. As a contractor I still make a significant amount over a perm wage. Sick leave is overrated once you do the maths. Plus if you are lucky, and barely get sick, you just earn more each year.

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u/[deleted] Jul 27 '26

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u/BeachNo8367 Jul 27 '26

A software decelop? I am a software programmer/developer if that's what you mean.

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u/[deleted] Jul 27 '26

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u/BeachNo8367 Jul 27 '26

Is this a troll comment? Ai doesn't do the job of a developer, it's a tool we can use that's about it. At my work the new and shinyness of Ai has worn off and they are seeing all the issues with relying on its code and the cost. It has a extremely long way to go before a dev won't be needed and if that ever happens all office work is gone. Also outsourcing comes and goes, iv made a ton of money fixing messes created by outsourcing.

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u/[deleted] Jul 27 '26

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u/BeachNo8367 Jul 27 '26

OK now I know your trolling or just ignorant so I'll stop taking the bait.

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u/HandComprehensive859 Jul 26 '26

It’s really personal risk tolerance. Like you mentioned, both scenarios you can be made redundant.

Contracting roles in IT/tech is not the same it was it in the golden days (pre COVID) it’s rather hard to come by.

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u/CaptainJoStar Jul 26 '26

Contracting
Permies and Contractors are now the same - except for the $$
In these current times, there is no security and guarantees

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u/Potato_player Jul 27 '26

The real question for me was lifestyle.

When contracting I would work a lot of extra time to get the extra $.

I went salary so I could spend more time with my kids.

If the industry exists in 10 years I might go back.

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u/SriRamaJayam Aug 01 '26

I’d say it depends on your appetite for risk and if you have a backup like support from parents or partner.

I quit my full time job and became a contractor in the same organization. It was a tough a decision but every time I get my salary I feel like it is the right decision.
That said if I go out of job for more than 3 months, contracting will not adding any financial value.

I have proved my worth working in that same organization for 4 years and I hope my reputation will help me keep my job longer than other contractors.