close menu

Contractors – should you work from home or join an office?

by Kobus Van den Bergh | Dec 02, 2015
  • Being a contractor allows a level freedom that’s not available to most employees. With this autonomy comes the decision of whether to work from home or join an office. Research has shown that people are more productive when they’re alone, but more collaborative and innovative when together. We look at both options and highlight a few pros and cons.

    Should you work from home?

    Working from home is one of the most appealing aspects of being a contractor. Besides saving on transport costs, other benefits include flexible working hours and a less stressful environment.

    Costs and deductions

    As a contractor, working from home is one of the cheapest ways to start a business, as there are virtually no setup costs. In a recent survey, “working from home” was the primary reason motivating IT contractors to remain self-employed.

    Having a home office could also enable you to claim back a portion your living expenses. We recommend checking with your accountant to find out exactly what and how much you can deduct.

    Transport and time

    In addition to saving fuel and money on car maintenance, you’ll also save time. You can look at adding an extra one to two productive hours to your day.


    With no co-workers to get involved in watercooler gossip, you will reduce potential distractions and interruptions, allowing you to accomplish more in less time.

    Or join an office?

    Distractions and boundaries

    These can be better managed when there is a clear distinction between work and home. It’s easier to leave work at an office when you don’t sleep in the room next door. Leaving home each morning will also effectively eliminate any unplanned interruptions by family and friends, who might respect a formal office more than your desk at home.


    While there is much to be said for the effectiveness of online communication, many companies still prefer having people in the same room for meetings and idea sharing sessions. Being in the same office makes arranging these much easier.

    Time management

    Ensuring you get to an office by 09:00 can be a bit of a pain. However, if time management is not your strongest skill, not having a fixed schedule could be detrimental to your productivity. Since there is no pressure to start work at a certain time or dress a certain way it’s very easy to delay the start of work.

    More options

    If neither of the above options appeal to you, there are a few compromises:

    Renting a serviced office space

    This will give you the freedom of a home office, with a professional area for client meetings when you need it.

    If you decide to go this route, be prepared to fork out a few Pounds. This is by far the most financially demanding option, as you will pay for a monthly lease as well as transport and possible setup costs.

    While costly, this is possibly the best option if you are a freelancer expecting to host regular client meetings. Meeting at a coffee shop once or twice might be acceptable, but in the long-term, an appropriate meeting space may be preferable.

    Hot desking

    Other services such as the Hot Desking Club allow entrepreneurs to rent a desk in a shared office space all around London. This option could be cheaper than renting an office and gives you the opportunity to network with other entrepreneurs and contractors.

    Joining a members’ club

    Whether you’re looking for a regular work space, meeting with clients or simply hoping to meet new business contacts there are a number of private members clubs in London offering spaces to suit your needs at a monthly membership fee.

    Are you a contractor in the UK? 1st Contact Accounting provides a full range of contractor accounting services to the professional contracting market. Email us or visit our website and let us find the perfect service to fit your needs.

    We are a professional services company that specialises in cross-border financial and immigration advice and solutions.

    Our teams in the UK, South Africa and Australia can ensure that when you decide to move overseas, invest offshore or expand your business internationally, you’ll do so with the backing of experienced local experts.

    • business plan
      Step-by-step guide to writing a business plan [template included]
      Aug 29, 2019  |  by Scott Brown
    • female-entrepreneur hot air balloon
      Why we need more women-owned businesses
      Jul 16, 2019  |  by Scott Brown
    • crowdfunding lightbulb
      7 ways to finance your small business
      Jul 16, 2019  |  by Scott Brown
    • Businessman looking to the future
      How to get your business ready for the future
      Jun 19, 2019  |  by Scott Brown
    • Guide to UK PAYE tax forms
      A guide to UK PAYE tax forms P45, P60 and P11D
      Jun 14, 2019  |  by Kobus Van den Bergh
    • Cut-taxes
      The 2019/20 tax year changes: What they mean for you
      Jun 10, 2019  |  by Scott Brown
    • confused
      Do you need to complete a Self Assessment tax return?
      May 29, 2019  |  by Kobus Van den Bergh
    • Tax refund money
      11 excellent ways to spend your UK tax refund
      Apr 09, 2019  |  by Kobus Van den Bergh
    • London-business
      The UK still the best country for business in 2019
      Apr 04, 2019  |  by Scott Brown
    • Contractor choosing door
      Contractor insurance: Choosing the right cover for your risks
      Mar 12, 2019  |  by Kobus Van den Bergh

    South Africa

    Cape Town

    Regent Square
    Doncaster Road
    Kenilworth 7708 +27 (0) 21 657 2120


    25 Richefond Circle
    Umhlanga 4320 +27 (0) 31 536 8843

    United Kingdom


    One Croydon
    12-16 Addiscombe Road
    Croydon CR0 0XT +44 (0) 20 7759 7514



    9 Yarra Street
    South Yarra
    VIC 3141 +613 (0) 8651 4500

    Sable International is a trading name of 1st Contact Money Limited (company number 07070528), registered in England and Wales. We are authorised and regulated by the Financial Conduct Authority in the UK (FCA no. 517570), the Financial Services Conduct Authority in South Africa (1st Contact Money [PTY] Ltd - FSP no. 41900) and hold an Australian Financial Services Licence issued by ASIC to deal in foreign exchange (1st Contact Group - AFS Licence number 335 126).

    We use cookies to provide the best website experience for you. Using this website means that you agree to this. How we use cookies.