Questions to Ask for a Contract Position
Questions for a candidate considering contract, temp or fixed-term work, covering who actually employs you, what the rate really means once benefits and gaps are counted, how the contract ends or extends, whether it converts to a permanent role, and what you will be able to do on day one.
20 questions, each with the reason to ask it · includes a conversation guide
The questions
Open any question to see why it works.
- 1
How long is the contract, and what is the end date?
Ask for a date rather than a duration, because a six-month contract that started being scoped three months ago is often shorter in practice. Ask what the contract says about ending early, which is a separate question from how long it runs.
- 2
Who is my employer of record, and who pays me?
In agency work these are frequently different companies from the one whose office you sit in, and it determines who handles payroll, taxes and any dispute. Get the legal entity name, not the brand you interviewed with.
- 3
Am I an employee of the agency, an independent contractor, or working through my own company?
Each arrangement changes your tax position, your entitlement to benefits, and your protection if the work ends abruptly. Ask which one this is before discussing rate, since the rate only means something once you know.
- 4
What is the pay rate, and how does it compare with the bill rate?
Agencies mark up what the client pays, and while the markup is normal, its size is negotiable and rarely volunteered. Some recruiters will tell you the spread if asked plainly, and the answer tells you where the flexibility sits.
- 5
Is this contract to hire, and if so, what has to happen for it to convert?
Ask for the specific conditions, the decision date, and who signs off. Contract-to-hire framed as a likelihood rather than a defined process usually stays contract.
- 6
How many contractors here have converted to permanent in the last year?
The number is a far better predictor than the intention. If nobody has converted, the conversion path exists in the job advert rather than in the budget.
- 7
Are there any benefits, and when do they start?
Some agencies offer health coverage and retirement contributions after a waiting period that a short contract never reaches. Ask what the waiting period is and what it costs you monthly, not just whether benefits exist.
- 8
How is time off handled: paid, unpaid, or accrued?
In many contract arrangements a day not worked is a day not paid, including public holidays. Work out the annual effect before comparing the rate with a salary, since two weeks off is a full percentage of your year.
- 9
Is overtime paid, and at what rate?
This depends on your classification and on local law, and hourly contractors are often treated differently from salaried staff doing the same job. Ask whether overtime needs approval in advance, since unapproved hours are commonly unpaid.
- 10
What notice applies, on each side?
Contracts are frequently written so the client can end with little or no notice while you owe several weeks. Ask for the clause, and ask whether notice can be given during a probationary period on different terms.
- 11
What would cause this contract to end early?
Budget cycles, a project being cancelled, or a hiring freeze lifting are the usual causes and are all foreseeable. Ask when the budget for this role was approved and when it is next reviewed.
- 12
If the client hires me directly, is there a conversion fee, and who pays it?
Agency agreements often include a fee or a required waiting period before a client can employ you directly. This clause can quietly block a permanent offer you would otherwise get, so ask about it before you sign.
- 13
What exactly am I being brought in to deliver?
Contract roles are usually funded against a specific piece of work rather than a headcount. Knowing the deliverable tells you what completion looks like, and therefore what an extension would need to be justified by.
- 14
Who do I report to day to day, and who approves my hours?
In agency arrangements the person directing your work and the person who signs your timesheet are often different, and late approvals delay your pay. Get both names and ask what happens when one of them is away.
- 15
Will I have accounts, access and equipment on day one?
Contractor onboarding routinely lags, and people lose their first two weeks waiting for a laptop or a system login. Ask who is responsible for requesting access and when the request was submitted.
- 16
What am I included in: meetings, training, team events, internal systems?
Some organisations exclude contractors from internal tooling, training budgets and planning meetings by policy, which affects both the work and how the role looks on your record afterwards. Ask specifically rather than assuming parity.
- 17
Has this been a contract role before, and what happened to the last person?
Repeated short contracts in the same seat can indicate a role the organisation wants but cannot get approved permanently. Whether the last contractor left, extended, or converted is the most direct evidence you can get.
- 18
What restrictions would I be signing: non-compete, non-solicit, exclusivity?
Contractors sometimes agree not to work for competitors or other clients of the agency, which can limit your next contract while this one is ending. Ask for every document, and check enforceability locally before signing.
- 19
How and when do I get paid, and what happens if an invoice is late?
Weekly, fortnightly and monthly cycles differ substantially in cash flow terms, and some arrangements pay only after the client pays the agency. Ask what the process is when a payment is missed, and who you call.
- 20
What would make you extend this, and when is that decision made?
Ask for the date, then work backwards. Knowing that the extension decision comes four weeks before the end tells you when to start looking for the next contract, which is the skill that makes contract work sustainable.
Weighing up contract work
Practical guidance for the conversation itself.
Working out what the rate is worth
Working out what the rate is worth
- 1Start from the hourly or daily rate and multiply by the days you would actually work, not by a full year. Subtract public holidays and any time off you intend to take.
- 2Subtract what you now pay for yourself: health coverage, retirement contributions, sick days, and any equipment or software.
- 3If you are a contractor rather than an employee, allow for the tax and social insurance an employer would otherwise pay. An accountant familiar with your jurisdiction can tell you the real figure.
- 4Add an allowance for the gap between contracts. Even contractors who stay busy commonly lose a few weeks a year between engagements.
- 5Compare the remaining number with a salaried offer for the same work. A contract rate that looks generous per hour is often close to level once these are counted.
- 6Decide your walk-away rate before the recruiter asks for your expectations, because the first number in the conversation tends to anchor the rest of it.
Questions for the agency, separately from the client
Questions for the agency, separately from the client
- Ask the recruiter how long they have worked with this client and how many people they have placed there.
- Ask whether the role has been open long, and whether other agencies are working on it too.
- Ask what the client's usual pattern is: do contracts extend, convert, or end on the date.
- Confirm they will not submit your details to any company without asking you first. Duplicate submissions can disqualify you from a role entirely.
- Ask who your contact becomes once you start, since the recruiter who placed you often hands you over.
- Ask for the contract in full before the offer conversation, not after you have verbally accepted.
Warning signs
Warning signs
- A rate quoted only as a range, or one that changes once you ask about the employment arrangement.
- Payment terms that depend on the client paying the agency first.
- Notice periods that are heavily one sided, or an end date that nobody will put in writing.
- A conversion fee or restriction you are told about only after accepting.
- Vagueness about what the actual deliverable is, which usually means the scope will expand.
- Pressure to start before you have seen the full written agreement.
- Being asked to work through an arrangement you do not understand, particularly one described as more tax efficient without explanation.