Data Analyst: How to Successfully Make a Career Change?
Discover in this guide everything you need to know before starting a career change as a data analyst in umbrella employment.
Besides having a solid technical background and a knack for sales, becoming a freelance IT consultant requires choosing the right legal status: self-employed, EURL, SASU, or even wage portage. Here are some tips to succeed in your project.
Generally, you need a five-year degree to become an IT consultant with a degree in computer engineering, a bachelor’s, or a master's degree in technology from a specialized school. Once your studies are completed (preferably with a few internships), it can be beneficial to opt for an employed status for a few months or years. This way, you can develop your skills and gain experience from seasoned IT consulting professionals. Moreover, the field is constantly evolving (artificial intelligence, increasing attacks, etc.), and there are many skills to master in both hardware and software technology, as well as sometimes in management and project management. You will thus be ready to face your clients alone, offering them the best solution for their IT infrastructure based on their needs.
The role of an independent IT consultant is quite diverse. You can work on setting up network digital infrastructures for businesses or ensuring their maintenance. You can even train internal staff on the operation of the IT system you just installed.
You might also have a portfolio of several clients for whom you perform various consulting and IT tasks. In this case, you work both from home (or an office chosen for your freelance activity) and at the client's site. Alternatively, you could work on assignment within a company — such as an ESN or a consulting firm — where you stay for several weeks or months.
However, keep in mind that if your revenue comes solely from services ordered by one client, you risk having your contract reclassified as a fixed-term or permanent contract. This is especially true if you work on the company’s premises, using their tools, during the same hours as employees, and the position is permanent and could be filled by someone with a regular contract. Be mindful of this aspect.
The first freedom of a freelance IT consultant? You choose your clients and projects based on your preferences. If you don’t like maintenance but are passionate about designing and setting up complex and secure information systems, you can accept only these types of contracts. You will also face a broader range of situations than in a salaried position, enriching your experience in different work environments. This requires great adaptability and management skills as well as comprehensive knowledge in your consulting tasks.
You also control your organization and schedule. If you only want to work four days a week, just specify this rule in the initial contract. The same goes for vacations. As for the workplace, it is more flexible even though, in IT consulting, presence on site is often necessary to oversee implementation, ensure its proper functioning, and handle training, maintenance, and potential after-sales service. While this job is generally done solo, teamwork is not excluded, especially for high-quality digital infrastructure that requires advanced skills.
Do you feel experienced enough to start as a freelance IT consultant? Before diving in, consider your legal status.
Self-employment is the most popular status among freelancers. It is less administratively burdensome. You only need to report your revenue, monthly or quarterly to Urssaf, and pay your contributions: about 20 to 25% of the amount you bill. You will also pay the business property tax, even if your business is based at home. The revenue you declare is taxable. You are exempt from VAT and your annual revenue can reach 77,700 euros for services. However, you are liable for VAT on the part of your revenue exceeding 36,500 euros.
This status offers little protection. Social benefits in case of illness, for instance, are quite low compared to those of an employee: generally, daily allowances between 5.37 and 55.51 euros per day depending on your seniority and income, and sometimes nothing if you have just started your activity. This will require you to additionally subscribe to a provident insurance for more extensive compensation.
In EURL or SASU, the rules are a bit more stringent. In the former case, you need to draft bylaws, which has a cost, and you can choose between being a salaried or non-salaried manager. The amount of contributions is higher than in microenterprise: you are subject to corporate tax (IS), income tax (IR), and value-added tax.
In SASU, you have the status of an assimilated employee and are subject to the general Social Security scheme, which is more advantageous than in self-employment. However, the contributions are much higher: they consist of 54% employer charges and 28% employee charges.
Less costly, in terms of contributions, than the EURL and SASU statuses and more protective than self-employment alone, umbrella company in IT is an excellent solution. While retaining the freedoms offered by your freelance status, you enjoy increased social protection. The principle is simple and involves a tripartite relationship between you, the umbrella company, and your client. You are thus considered an employee and benefit from the protection of the general Social Security scheme. Here are some benefits you can access:
Another advantage? You can provide pay slips, which can be useful when applying for a mortgage, for example. The role of an umbrella company like Weepo is to assist you in choosing this status and in the related administrative procedures.
Discover in this guide everything you need to know before starting a career change as a data analyst in umbrella employment.
Ending your permanent contract to start as a freelancer and successfully manage this transition: our advice!
This article is for those who wish to start freelancing without having any prior experience.