I told them to increase my salary from 8.125€ an hour as a DevOps engineer into 16.25€ an hour

They said they will pass this information down to financial bosses

Ended up telling me they offer option 2: they can do 17€ an hour But this means i would have to open my own LLC or some shit like that and they deposit that salary in that smaller firm under my name. This means i would have to pay taxes myself, which means 400€ at least gets burned on taxes + accountant. And also i would no longer get any paid vacation days, paid sick days, etc. And also i would be paid exactly on the days i worked. So every month my salary will vary. For february i would be paid for 28 days. For 30 day months i get paid for 30 days and not 31 etc. This is the shitty part

But even in that case of all those unpaid vacation days and taxes i calculated i would still earn more than i did before when all of this was taken care for me

What should i do. Is this offer smart to take?

@Demolishun wtf are u talking about. I proposed more money and they cant afford to pay me 2600€ a month as net salary due to heavy gross income of taxes and other shits. So they proposed this option and said they already have several devs in the company working like this. Its easier for them cz they now dont have to pay taxes for me and other non working days etc

@Demolishun also the biggest hook they held on was the reason for this increase is when i mentioned i look for long term work if i can get this salary, meaning im willing to work for months or perhaps years if i get this salary

@Demolishun if they paid me 2100€ as a regular standard employee, it would still not be enough, cz even if i take 4-5 days vacation in a month and pay accountant + 400€ taxes i would still have more than 2100€ net, so i dont see what would be the major downside of getting paid as contractor if I'd always earn more. Unless i always have to pay those taxes regardless if i earn income or not?

in the western world HR overhead for an employee is something like x1.3-1.5

so you get deductions in your paycheque, and they have fees they have to pay on top of it for all the government things

it's simply cheaper to have contractors

it's also easier. HR has less legal paperwork. invoices are easy to just pay, and there's no hassle

demolishun is right there is no "employee labour laws" protecting you, but in my experience both being an employee and a contractor for the same company, as an employee they clearly broke the local laws here, one dev was shouting about it for months and he was correct and also literally 50 and married to a lawyer, and yet the company was never taken to court for it and nothing. on the other hand they didn't fuck with me when I was a contractor. not only that, as a contractor I got paid overtime... whereas as an employee, despite them by law having to pay OT and at 1.5x, they made people work 80 hour weeks and didn't. never got in trouble. So fuck that

Maybe find out who else is doing this, if what they claim is true, and ask them how it's going.

Did you also accounts for insurances (here we also pay social and healthcare insurance on top of taxes when self employed)? Also is your current employer paying you lunch money/food tickets now, you would also lose those)

And how much does setting up an LLC cost initially? Here it uses to be 5k for first deposit, though I think It's possible to do ot cheaper these days.

Also keep in mind It's really hard and expensive to cancel an LLC once It's created, and check if you don't need to pay someone to do your taxes. Here if I wanted an LLC I would have to keep double entry bookkeeping and It's strongly recommend to use economy software for that, which is expensive as fuck. Cheaper to just pay someone to do it... So take that into considerstion if it applies

Definitely do extensive Research before starting a company. So we don't find you here later crying about how this fucked your life. Just sayin'

@Hazarth its not LLC its this thing i have no fucking clue how to translate in english

you only take home more if nothing ever goes wrong.

HR is just fucking with you, trying to move all the risk they have to bolster right now onto your shoulders.

you're basically getting the same money for the same work, but have to invest additional unpaid work to manage everything.

If you get experience running your own business as a contractor, there's remote contract opportunities and potential to really increase your wages by contacting in larger markets.

I bet with some experience you could charge 20 or 30 euro per hour as an outsourced dev.

You might get fucked over, but risk has benefits too

@lungdart the only real risk is playing it safe