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Comparing Contractor, Hourly, & Full-Time Staff

Consulting for Intertech
— Intertech, Inc. —
At Intertech, we provide expert software consulting for a wide variety of clients. As a result, we’re constantly looking to hire top talent with expertise in various technologies. Typically, we hire developers either as independent contractors, hourly staff, or salaried employees. Whereas contractors have more flexibility, our full-time staff has more consistency and benefits. Hourly employees fall somewhere in the middle.
Neither approach is better than the other. Instead, it’s a matter of which approach best fits the developer’s lifestyle and goals. Below, take a look at the differences and similarities between working contract vs hourly vs full-time for Intertech.

Contractor, Hourly, or Full-Time


Our staff falls into three general categories:

Independent contractor – These are consultants who have their own small business or sole proprietorship. We pay them on a per-contract basis for the time they work.

Hourly Employee – These consultants are employees of Intertech, but they may not necessarily work a full 40 hours per week, or if they work over 40 hours they’re paid overtime. We pay them a regular paycheck, but the number of hours worked may change over time.

Full-Time Employee – These consultants work for Intertech 40 hours/week, every week. They receive a salary, benefits, and vacation days like other salaried employees.

Each of these employment structures comes with its own benefits and drawbacks. Based on a developer’s lifestyle, priorities, and inclinations, one of these structures might work better than another.

When it comes to doing the work, we treat these employment types equally. When a client needs help, it doesn’t matter if the consultant for Intertech is a contractor or employee, we’ll send the best person for the job.

Pay &

Tax Structure
The first major difference between these positions is the way payment and taxes are structured.

For an independent contractor, all responsibility for paying state and federal taxes lies with the contractor. As such, Intertech withholds nothing from the contractor’s pay, and Intertech mails a form 1099 to the contractor come tax time detailing all the payments made during the year. Furthermore, the burden of tracking hours and invoicing Intertech for those hours lies with the contractor. In addition, contractors have other administrative overhead activities and costs for their businesses. As a result, contractors may earn a higher hourly rate, but a significant percentage of that rate covers taxes and administrative costs.

For hourly employees, the pay and tax structure are more straightforward. Hourly consultants get paid for every hour they work, and Intertech withholds state and federal taxes from the paycheck automatically.

The same goes for full-time salaried employees. However, their pay is calculated based on the yearly salary, not the hours they work.


& Retirement

One major difference between full-time and part-time or contract employment is the structure of the relationship between Intertech and the consultant. Our full-time consultants are salaried employees of Intertech. Therefore, they receive benefits like insurance, retirement accounts, and paid vacation.

On the other hand, independent contractors and hourly employees are responsible for their own healthcare and retirement savings. They get paid for the time they bill, regardless if they already worked 40 hours that week, but they also have to provide their own benefits.

This independence suits the lifestyle of some of our consultants, while others prefer the security of full-time employment.


With Intertech

Being a contractor instead of an employee is best for entrepreneurial individuals who want to run their own business. This introduces stress and complexity sometimes, but it also grants flexibility and control over the contracts you’ll take on.

While some of our contractors work exclusively with Intertech, others take on additional clients in between or alongside their Intertech work. Managing multiple contracts can work well for some consultants, but it comes with risk. For others, being an employee of Intertech (full-time or hourly) helps them mitigate that business risk.


Making the Right Choice for You

Chances are, as you were reading one of these options sounded more appealing to you. For some, working as an employee with benefits and consistency is a no-brainer. For others, the independence and flexibility of being a contractor fits their lifestyle better. The good news is Intertech has experience working with and hiring both types of consultants.

If consulting sounds like something you’d be interested in, check out our jobs board and let us know. We would very much like to hear from you!

Custom Application Development For Line-of-Business Needs


Understanding your industry is one thing. Understanding the technology you are currently using and being able to look to the future and suggest the best pathway forward is another. Add the unique benefit of being tied to a training division that keeps everyone on your team up-to-date, and you get a blend of exceptional knowledge that plugs in, does what you need, and leaves your business stronger.

When you read studies that tell you that 75% of projects are doomed from the beginning, it has to make you wonder if you have the right team in place. Consider letting our proven professionals take a look at your project. They’ve seen what can go wrong and know how to avoid the costly errors. At Intertech we ask the right questions and we tell you the right answers. From design to rollout, Intertech takes the worry out of custom software development. 

We Bring You…

Team-Complete™ Development

Intertech’s Team-Complete™ development means senior consultants dive deep into your project. From analyzing your objectives and your CIO’s vision for the future to choosing the correct pathway for your company and customers, we make sure all the right people are seated at the table to assure success.

Balanced-Cost Account Management

Intertech specializes in top-tier developers, but not everyone on a project needs to be a lead consultant. That’s where Intertech’s Momentum-Based Budgeting comes in. Providing a balanced approach, Intertech always offers you a completely integrated solution that meets the requirements and leaves your team stronger.

Soft-Skills For A Winning Experience

Sometimes the most critical person in the room is the one with a calm voice and the right words. Bringing a development team together or presenting a difficult concept for stakeholders to understand can make all the difference in success or failure. Intertech consultants are at the top of their field. They navigate challenging decisions, guide with a confident voice, and know when to get out of the way.

Tell us how we can help!

Intertech takes the worry out of custom software development.

We Bring Our Insights To Your Project!

We would like to hear from you.