1099 gig economies

In the news you hear a lot about the gig economy, mostly in reference to people who have picked up small side hustles or drive for Uber and things like that.

The problem with those types of gigs is that the pay is low, inconsistent and commoditized. Uber drivers may be self employed, but in that barely scratching out a living type of way.

There is a version of that in the federal contracting space too. I've encountered many companies who are okay with bringing on a 1099, but they only want to pay you the equivalent of a W2 person, not the full bill rate, meaning you assume all the risk without getting any of the reward.

These are gigs that will pay $50- $70/hour. Not bad compared to an Uber driver, but bad if you're an experienced professional in your field.

To avoid these federal Uber gigs, focus on developing in-demand skills and build good professional relationships. If you can do that, you will command market i.e. profitable rates for your work.

Want the full playbook? Check out Going 1099.