
Originally posted by
Cardinal
I left a job in 2005 to go into consulting full-time. I can tell you that it is difficult. You do not simply announce that you are a consultant and start getting contracts. Just getting started has costs for equipment, software, materials, advertising, etc. I easily sank $25,000 into it in my first year and spend about another $10,000 each year, not including travel, which is easily as much. Self-employment taxes, health insurance, liability insurance, and other costs eat into income even more. Any memberships, conferences and training come out of my own pocket. too. When I started I had 20 years of experience and a solid network, as well as a long history of publishing and presenting, so that some people had at least heard of me. I still struggled to get clients, and while I more regularly land projects, I still put a huge effort into it.
I agree that many planners who are laid off try to "consult", but most of them fail, or succeed just enough to still not make it. Many of them end up taking positions like one advertised recently, "consulting" for 20 hours per week at $20 per hour as a contract employee. That means you still pay both employer and employee shares of employment taxes and you receive no benefits, not even unemployment or workers compensation.
As a starting planner you really do not have the option of consulting. There will always be someone with more experience competing, even for the really crappy, underpaid projects. You might have some luck contacting small firms like mine to offer specific services on an as-needed basis. For example, if you have GIS skills and access to the software, it makes more sense for me to outsource my mapping and analysis needs than to maintain the license and spend my own time doing the work.