What is wage portage?

What is wage portage?

Wage portage is a fairly recent form of employment. Its particularity is to provide a solution that falls between the status of a self-employed person and employee. It is a salaried status, while enabling a contractor to manage their own projects and clients in a totally independent way. In other words, the contractor chooses their clients and negotiates their own rates, without the intervention of the portage company.

Wage portage involves a tripartite contractual relationship between the contractor, MITC and the client company.

How wage portage works

fonctionnement-portage-salarial

This tripartite relationship involves two contracts:

  • An employment contract between the contractor and the portage company
  • A service provision contract between the client company and portage company.

The contractor therefore performs a service on behalf of the client company without being hired. This basic rule does not differ whether one is in Switzerland or in France.

By using external service providers, the client company avoids many time-consuming administrative procedures and is able to optimise its outsourcing strategy.

What about payment in wage portage?

To learn more about the costs of wage portage and the calculation of the net salary, go to our wage portage simulation page.

A contractor who opts for wage portage will become an employee of the portage company. This means that they will benefit from the same employment contract and the same social deductions as a normal employee.

It is the wage portage company that pays the contrator. In fact, the wage portage company will invoice the client company and then pay the consultant for the task.

Payment is made under the same process as with a ‘normal employee’, with the difference that in a portage contract, management costs will be added to the usual social security charges. Consider these charges as payment to the management company.

To learn more about the costs of wage portage and the calculation of the net salary, go to our wage portage simulation page.

Why opt for wage portage?

There are many reasons why professionals opt for wage portage. As we have just seen, this solution offers professionals the flexibility of a self-employed person and the security of an employee. But this is far from being the only advantage of wage portage.

Whether you are a cross-border worker, an expatriate, a senior citizen or simply looking to kick start your business without taking too many risks, wage portage is the perfect solution.

The advantages of wage portage

Visit our page dedicated to the advantages of wage portage for more info.

Wage portage,
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