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I have started my own consultancy company. I have found a client for whom I have been working full time now for a few months. Since I am a consultant, I choose my own salary. I am not part of any pension fund which allows me to pay myself even a higher salary. Currently, I have moved to another country in order to do the work for the said client. Now my client wants to hire me. If I get hired, I get such benefits like sick leave, paid vacation, paid pension, and so on. However, this means that my salary will be reduced to 1/3 of what I can currently make without these benefits. I keep having discussions with my client on why they should keep me as a consultant and I am out of arguments.

My main argument to keep me as a consultant was the possibility for me to do some other side gigs through my company (which is not fully true as I am very busy with the current work). Can anyone recommend or give me some ideas on good reasons to keep me as a consultant for a longer time? My client's one of the arguments on why I should be employed is that most of my colleagues are employed and there may be some discrepancies (maybe even envy?).

I work within different departments in this company, so I am very versatile and I can see that there will be a lot of more projects to do.

It is not possible to be employed and not have the above-mentioned employment benefits.

EDIT: The client wants to hire me because the money that comes for projects only allows to include employees' salaries. Consultant salaries cannot be included into the project costs so it makes the project more expensive.

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  • Why does the client want to hire you? Aug 5 '20 at 10:09
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    Please keep in mind that in some countries, being self-employed and only working for a single customer is considered a scam to circumvent employment and minimum-wage laws. Tax authorities might not be happy about it. Also keep in mind that from the amount of money you are making, you should put some into those funds that you would pay into were you an employee. If you plan on getting older than 30 to 40 that is.
    – nvoigt
    Aug 5 '20 at 11:24
  • @nvoigt or just in case of sudden lack of clients, which for contractors hits like lightning out of nowhere at times. Aug 5 '20 at 11:56
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Can anyone recommend or give me some ideas on good reasons to keep me as a consultant for a longer time?

Because you don't want to be their employee - that is all the argument you need. You have some good reasons anyway - that you are making more as the contractor, got more freedoms and that the benefits are less of value to you currently. You can also give them a counter offer that if they are to match your current pay, with benefits on top, you may be willing to consider giving away the side gig freedom for example.

Now whether that is the best for you is debatable, but it's also entirely up to you whether you want the higher pay, without the benefits or stability as contractors are much easier to axe than employees.

Personally I would be vary that if they are so insistent on turning you into an employee, they will likely hunt for said employee, and terminate your work when they find one.

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  • If they were to match my current salary, I would be earning more than the CEO. The thing is, I want to keep on being a contractor for at least another 1.5 years. After that, I could probably consider being employed.
    – Ship
    Aug 5 '20 at 10:17
  • @Ship Then do that, but be vary that you may lose this client in the process. Aug 5 '20 at 10:20
  • @Ship you could also consider saying that to the client, that you, for your own personal reason, don't want to become an employee in the next 18 months, and that after that you can consider it. I see no reason why telling the truth shouldn't work here.
    – bracco23
    Aug 5 '20 at 10:45
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    @bracco23 my answer would be "since we are your only client, and hope to be for the 18 months, why wait?" to which there is very little of a good answer besides, well, money. Aug 5 '20 at 10:48

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