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Tuesday, May 1, 2007

The Three Types of Telecommuting

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The first step in searching for a telecommuting job is choosing which type of telecommuter you want to be. There are three types of telecommuter to choose from; each has its pros and cons. And unfortunately, making the right choice is imperative to finding a telecommuting job. The three types of telecommuter are:

  • The corporate telecommuter,
  • The freelancer or independent contractor,

  • The self-employed telecommuter,

Which one would you like to be?


The corporate telecommuter
A person that has the best of both worlds -- able to work at home and still have an "on site" presence establishing relationships with co-workers at the office. Most likely, being this type of telecommuter will allow the teleworker to work at home a couple of days out of the week. This is wonderful for those that experience isolation problems while working at home and are concerned about being in the corporate “loop."

But be warned, this option also allows the employer to dictate the design of your home office, the days you are to telecommute – basically, the employer has all the control. Many job hunters are searching for the corporate telecommuter position, believing that they can have this type of home-based job and look after children at the same time. However, most corporate employers offering flex-time options (such as telecommuting), stipulate that an employee wishing to telecommute must have child-care available during working hours.

The advantages of this type of telecommuting position is that the employer pays for all the equipment and software and the teleworker receives benefits and a steady paycheck. The job hunter will find that most telecommuting job offers are in this “corporate telecommuting” category.


The independent contractor
Which is my personal favorite of the three choices. Why? Because this choice allows the teleworker the most control, especially if teleworker is a parent who wishes care for children during the day. The IRS stipulates that the employer of an "independent contractor" cannot stipulate working conditions or stipulate the working hours of a contractor. The employer can only insist on the condition of the end product and the deadlines.

The teleworker in this category is usually a sole-proprietor can seeking out long-term projects. These people can work from more than one company, but often not at the same time. But because they have the option to work for more than one company the sky is the limit on how much income the independent contractor can make.

On the downside, this teleworker's income tends to fluctuate, there are usually no benefits offered and the teleworker must take care of self-employment tax, updating equipment and software and other issues that an "employee" does not have to consider.

The self-employed telecommuter
A self-employed telecommuter is "employed" by the business he/she creates and hires "independent contractors" or has employees to assist customers and clients. This option is where the real wealth and freedom resides. However this is the option that holds the most risk.
All opportunities begin and end with the teleworker. There are no benefits (unless the teleworker’s company pays for them), no guiding hand of an employer, no "corporate office" to rely on for assistance -- but plenty of opportunity for the brave individual that goes this route. The savvy teleworker that chooses this route can name their price for work completed, choose the type of people they wish to work with, and grow as quickly or as slowly as their talent and determinations warrants.

So now you know what you're getting into, have you made your choice? The choice is the first step. Why? Because once you have a clear idea of what you want to do -- which type of telecommuter you want to be -- any other opportunities that do not meet your goal can be quickly weeded out. You will be able to concentrate on the opportunities you do want. So, which type of telecommuter do you want to be?

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