US full-time contractor v.s CAD Full-time Employee

[resjudicata]

@itoowasoncebroken Likely just means they get standard benefits, except they almost certainly won’t get the same benefits and incur higher risk.

 

[josephjnapoleon]

@nilz I just recently went through this and I’d rather be tied to CAD as long as your $218k/yr is consistent, who cares what the USD is at. This was a sticking point for them and I had to take the USD salary to be paid in CAD. Economist outlooks don’t look there will be a ton of fluctuation in the near future, but it will be weird getting a different wire amount every 2 weeks.

 

[rita1989]

@josephjnapoleon OP states that the CAD might fluctuate based on FOREX.

The USD amount is fixed it appears

 

[amadeois]

@nilz Option 2, not even close. USD pay would need to be significantly higher to make that choice worthwhile.

 

[rita1989]

@amadeois Lol not if USD to CAD goes 1:1, or worse (unlikely)

OP states the CAD will fluctuate based on FOREX

 

[aragorn767]

@rita1989 You read that wrong - CAD will be pegged. In other words, it'll be 216K CAD all year long. If USD to CAD goes 1:1, they'll still make 216K CAD vs 160 CAD with option 1.

 

[galations322]

@nilz Incorporate and become a contractor. Make sure you can secure another small contract part time as well. This will help with labeling with the cra. You can basically use the corporation as an rrsp. Make a business account and get a business credit card. Talk to an accountant and start going over on how to limit your taxes on the income you get

 

[foundsomefunnies]

@galations322 Even with a second small contact, you'd be ruled a personal service business. https://www.canada.ca/en/revenue-ag...video-gallery/personal-services-business.html