From freelance to employment

Choose contracting: the perfect alternative!

Freelancer or employee

When does false self-employment occur?

If your client dictates your tasks and working hours, there is an element of employer authority. In this case, it’s likely that the tax authorities will view the relationship as an employment contract, a situation known as false self-employment. With false self-employment, it may appear that a person is an independent contractor, but in reality, they are performing the same work as an employee. This can have serious tax implications, as the tax authorities may impose a correction, fine, or additional tax assessment.

The DBA Law

The tax authorities will begin enforcement

The DBA Law has been in place since May 1, 2016, but as of January 1, 2025, the enforcement moratorium will be lifted, and the Tax Authorities will start actively enforcing the law. It is still unclear exactly what this enforcement will look like, but the change is coming, and it’s wise to prepare.
Employment relationship
The DBA Law defines the employment relationship between you, as a freelancer, and your clients. Are you truly an independent contractor, or does the relationship lean more towards employment? This distinction is crucial, as it carries different rights and responsibilities.

Freelancer

Freedom and risks

You’ve consciously made the decision to work as a freelancer in the construction or technical sector. You make your own choices and decide which projects you want to take on. As an independent contractor, you have a lot of freedom, but it also means you bear additional responsibilities alongside your work.
As a freelancer, you must:
  • Arrange your own projects and contracts
  • Manage your administration in your own time
  • Arrange and pay for transportation, work clothing, tools, and personal protective equipment (PPE)
  • Contribute sufficiently to your pension
  • Insure yourself against disability
You may face risks such as:
  • Income loss due to lack of assignments, illness, or external factors like bad weather
  • Income loss due to unpaid invoices from clients

The benefits of employment

Make the switch to employment

The end of the enforcement moratorium announced by the Tax Authorities may create significant uncertainty for many freelancers about whether they will be seen as independent contractors or employees. We offer an excellent alternative for those facing this uncertainty, one that still lets you enjoy many of the advantages of freelancing. Choose contracting! This way, you’ll retain the freedom to choose projects and enjoy numerous other benefits of employment.

By choosing employment, Larex provides:

  • Timely and guaranteed salary
  • Pension contributions
  • Continued payment during disability and illness
  • Accumulation and payment of vacation allowance
  • A complete equipment package: work clothing, electrical and hand tools, and PPE
  • Transportation: a company car or travel reimbursement
  • Training and development opportunities
How do you transition from freelancing to employment?

If you choose employment, there are several steps you need to take to officially close your freelance business.

We’ll get you started with this checklist!

Ready to make the switch?

Yes, I want to work as an employee!

Let us know via the form below. We’ll get in touch with you to help build your new chapter together!
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