Contractors, Self Employed nice cars? You earn far too much!

Contractors, Self Employed nice cars? You earn far too much!

Author
Discussion

anothernameitist

1,500 posts

135 months

Tuesday 16th June 2015
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mat205125 said:
have been asked by "financed brand new base model A3 bird" at work how I can afford something that expensive. She's more fresh air in her head than the balloon in her finance agreement that she chooses to ignore.
PMSL

I usually drive an ordinary vehicle to customers premises, always have. But have a weekend car.

Nice balance I think

wildcat45

8,072 posts

189 months

Tuesday 16th June 2015
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30 years ago my Dad took early retirement. A good deal for him and with the mortgage paid off a lump sum and a nice retirement pension he treated himself to a Volvo 740 Turbo.

He had no intention of being 58 and retired so he got another job. A niche role where he was brought in as staff but used for his experience, trouble shooting etc.

He was asked by the MD not to park his car next to the entrance where the management company cars were. The MD had been allowed by the board to have a 740 GLE, lesser managers for 740 GLs.

It didn't look right, he was told. So he continued to park there.

Years later I worked for the same firm. People were still going on about my 'rich' Dad. Despite them driving Range Rovers, Jags etc.

My Dad and the MD became firm friends.

I got Volvo funeral cars for his last journey. (It was a standing joke between me and my Dad about black
Volvos)

After the service I was saying goodbye to the now retired MD. as he drove off in his V70 he put the window down and pointing at the black S80 Limo said 'The bugger's upstaged me again.'

Companies to get very sniffy about nice cars. How you spend your cash is your business and it is very presumptuous to think that just because you hire someone that they rely on you entirely for an income,


LukeR94

2,218 posts

141 months

Tuesday 16th June 2015
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The thing is, its not just the self employed/contractors that get this, I used to get it all the time when I had my Audi A3, and my Astra VXR (not even that expensive cars, just a lot for my age, which was 19). I always used to get how can you afford it, they are paying you too much here. I dont get it anymore as ive now got a 1990 Mazda mx5 hehe ive had "Why have you got rid of the Audi for that!" which I couldnt be bothered to start explaining about why I changed as its a lost cause! I know I am on a similar salary to the rest of our department, not any more. I think I know why they think that though.

Its because they dont see cars in the same way I do, for me I will happily spent the majority of my salary on my car and think nothing of it, as its my passion. To the "normals" a car is just another "white good" and they cant fathom spending the same amount of money as I do on my cars. They spend more on their flashy TV's, holidays, handbags, designer clothes, which is something I maybe wouldnt spend as much on.

Its the exact same as going to someone's house for the first time and thinking "god thats a big TV and a very expensive sound system", they must be loaded! That might just be their interest.

And they dont realise that!

NRS

22,135 posts

201 months

Tuesday 16th June 2015
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It's not always just for employees though - I know some oil companies didn't like employees having expensive looking cars outside because of the image/ if something went wrong would look bad in the media. I guess investment banks etc would be similar now?

SwissJonese

1,393 posts

175 months

Tuesday 16th June 2015
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A friend of mine in Switzerland used to contract and drove a new Audi S5. He parked down the road and walked into work so no one noticed what he was driving as most of the staff would question why he could afford such a nice car and obviously got paid too much, plus they where mostly anti-car as well.

Mafffew

2,149 posts

111 months

Tuesday 16th June 2015
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My boss often complains about this, but then he has a 6 Series Gran Coupe, TVR Cerb, Ford Capri and a Ferrari Testarossa at the grand old age of 28. I'm not entirely sure what he expects! rolleyes

In all seriousness, it is really just jealousy from others to be honest. I don't understand it and I doubt I ever will, I suppose some people think "what a posh tosser" rather than "nice car". It's sad, but that is the way things are.

Shaoxter

4,069 posts

124 months

Tuesday 16th June 2015
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rek said:
I was told by another contractor he will just smile sweetly and every few minutes say to himself "50p","50p" with the frequency depending on the rate!
50p every few minutes is not a decent rate... hehe

lostkiwi

4,584 posts

124 months

Tuesday 16th June 2015
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My stepson is self employed and has a successful though small mobile phone business.
He used to have a beaten up Honda Civic diesel he went out on sales calls in. Earlier this year he treated himself to an 11 plate 520d.
He was told by a customer recently 'I'm so glad you got rid of that Civic - we used to wonder if you were some fly by night operator but now you have a nice car we can see you're the real deal.'
The flip side of that is that for his 30th birthday we all clubbed together and bout him a nice watch - £7k worth (and no its not a Rolex). He went to a different customer who took one look at it and said 'You're clearly getting too much margin - we want a better price from now on!'

No matter what you do someone will always see one side of it and someone else will always see the other side. Just do what you want to and sod the rest.

wildcat45

8,072 posts

189 months

Tuesday 16th June 2015
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Also non-car people don't know an expensive car from a cheap one.

A neighbour jokingly called me 'moneybags' the other day in the pub when I ran out of cash. Why? Because of my 'flash Range Rover' and expensive sports car, its a 2 year old 40 grand black Freelander and a 15 year old gold MGF..

Stil he bought me a pint to save me a trip to the cash point.

hairyben

8,516 posts

183 months

Tuesday 16th June 2015
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dxg said:
I know a few construction trades people who have a 'site car' and something very nice sitting at home for the evenings and weekends. All to make sure no one on site thinks they're making too much.
I got flak for having a new mercedes panel van, even from one person who's five zero daily would have lost more value being driven over the dealers threshold than my vans outright purchase price, there's something really not right with our psyche.

csd19

2,188 posts

117 months

Tuesday 16th June 2015
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An ex-company UK President of ours spent the first 2 weeks of his new position in the building by taking a diesel Golf to work, so that he could make the point to the contractors. He hated contractors with a passion and couldn't stand the fact that some had nice cars.

Start of the 3rd week he rolled up in his brand new Aston Martin Vantage...

Durzel

12,258 posts

168 months

Tuesday 16th June 2015
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mat205125 said:
Buy a crappy diesel rep mobile for visiting clients.

Don't rock up at a clients premises in an Aston Martin, and then complain if someone questions why they're paying £500 a day for your services.
This.

It shouldn't necessarily be this way but first impressions count for a reason and often they are reached before you've said a word.

It doesn't take much nous to realise that if you have to ritually explain to people why they've got the wrong impression of you, and that your car doesn't cost as much as they think, then you've probably made a bad judgement call rocking up in it regardless.

csd19

2,188 posts

117 months

Tuesday 16th June 2015
quotequote all
doogz said:
csd19 said:
An ex-company UK President of ours spent the first 2 weeks of his new position in the building by taking a diesel Golf to work, so that he could make the point to the contractors. He hated contractors with a passion and couldn't stand the fact that some had nice cars.

Start of the 3rd week he rolled up in his brand new Aston Martin Vantage...
What was the point?

I don't get it?
Sorry - it's an oil company so he didn't like the thought of all these flashy cars in the car park, and was trying to take the moral high ground by using the Golf and actually mentioning the fact he was too. smile

All that jazz

7,632 posts

146 months

Tuesday 16th June 2015
quotequote all
Durzel said:
mat205125 said:
Buy a crappy diesel rep mobile for visiting clients.

Don't rock up at a clients premises in an Aston Martin, and then complain if someone questions why they're paying £500 a day for your services.
This.

It shouldn't necessarily be this way but first impressions count for a reason and often they are reached before you've said a word.

It doesn't take much nous to realise that if you have to ritually explain to people why they've got the wrong impression of you, and that your car doesn't cost as much as they think, then you've probably made a bad judgement call rocking up in it regardless.
But OTOH why should you use a snotter because your permie colleagues are too thick to go down the contractor route themselves? This is a regular topic of discussion at the place I do most of my work and the replies are always along the lines of "well, you have to set up a ltd co and get an accountant and all that jazz, which I can't be bothered with, and there's no guarantee of getting work either" etc, "so STFU complaining then if you haven't got the balls to do it" is usually my stock reply. But it makes no difference, they still stand there bhing about you to their fellow permies about how "it's not right".

croyde

22,857 posts

230 months

Tuesday 16th June 2015
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Back in 2005 I got so much st about buying a brand new Porsche Boxster. So much money, you should buy a house, how can you afford such a car etc etc

3rd child was on his way so I sold the Porsche for nigh on what I paid for it and bought a Discovery 3.

No one said a thing about the cost.

Boxster £33,000

Disco3 £32,000

And to the buggers that said buy a house, that amount of money in London would barely get you a 10% deposit on a flat biggrin

NRS

22,135 posts

201 months

Tuesday 16th June 2015
quotequote all
All that jazz said:
But OTOH why should you use a snotter because your permie colleagues are too thick to go down the contractor route themselves?
Not really (at least for a lot) about them being thick, probably as many will be just as smart/ doing the same work. It's just what kind of risk/ reward you want to go for. Contractors much better paid, but high risk (effectively you're being paid to be easy to get rid of in bad times/ bring in external experience). Permie person is just going for lower risk picture.

pat_y

1,029 posts

201 months

Tuesday 16th June 2015
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I have also recieved these types of comments, although usually not too confrontational. i usually drive my old E36 328 tourer to the current clients site which is a great low profile wagon, but occasionally when the weather is nice i will bring the 996.
It's by no means an expensive car, and many managers/permies here have much higher value exec barges. It's just the fact it's a shiny black porsche that people pick up and instigates the comments.
As others have put very well, contracting is by no means an exclusive club, and it seems that most people just cannot understand the risks being self employed carry, all they see is a nice car and make an uninformed assumption.
I went from permie positions with the same company for 17 years, made the change to contracting and to be honest it's one of the best things i have ever done.

All that jazz

7,632 posts

146 months

Tuesday 16th June 2015
quotequote all
NRS said:
All that jazz said:
But OTOH why should you use a snotter because your permie colleagues are too thick to go down the contractor route themselves?
Not really (at least for a lot) about them being thick, probably as many will be just as smart/ doing the same work. It's just what kind of risk/ reward you want to go for. Contractors much better paid, but high risk (effectively you're being paid to be easy to get rid of in bad times/ bring in external experience). Permie person is just going for lower risk picture.
In my line of work it is because most of them are too thick! I appreciate that doesn't apply to all industries though. Them going for the "lower risk picture" is absolutely fine with me but don't go bhing about my chosen path, earnings and choice of wheels because you don't have the balls to do it yourself! grumpy It boils down to jealousy, plain and simple. No-one likes people getting something they're not, especially when it comes to money - and double especially when you're doing the same job as them!

NRS

22,135 posts

201 months

Tuesday 16th June 2015
quotequote all
All that jazz said:
In my line of work it is because most of them are too thick! I appreciate that doesn't apply to all industries though. Them going for the "lower risk picture" is absolutely fine with me but don't go bhing about my chosen path, earnings and choice of wheels because you don't have the balls to do it yourself! grumpy It boils down to jealousy, plain and simple. No-one likes people getting something they're not, especially when it comes to money - and double especially when you're doing the same job as them!
Have to agree, them complaining that you are earning too much when in theory they could do exactly the same thing is just stupid. Not a good time to be a consultant at all in my (the oil) industry at the moment. Company I work for has/ will get rid of around 1000 now.

MajorProblem

4,700 posts

164 months

Tuesday 16th June 2015
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Many years ago turning up to work in a 964 C2 the first thing I was told was "we're going to have to cut your hours"