Starting a business as a contractor to my current boss

[vault13rev]

The family and I intend to be moving to Finland within the next year (we're getting our ducks in a row at the moment) and I have spoken with my current employer on the topic. She's very willing let me work for her as an independent contractor who happens to have opened shop in Finland - is this a realistic option? I've looked through the documentation on starting a business and entering Finland on those grounds, but how much would I need to worry about something like being classified a de facto employee? Details on that topic are a little tough to find, at least in cases between the US and Finland

Somewhat unrelated, it's my understanding that I'd require a minimum income from the aforementioned business for my family to come in via family ties - is this correct?

[Adrian42]

The family and I intend to be moving to Finland within the next year

Why?

Somewhat unrelated, it's my understanding that I'd require a minimum income from the aforementioned business for my family to come in via family ties - is this correct?

Assuming you are not an EU/EEA/Swiss citizen, the amount of net income you need is listed at
http://www.migri.fi/moving_to_finland_t ... equirement

[vault13rev]

Finland's public schools reliably rank either first or close to first in the world, and eventual Finnish citizenship would make things like moving to other EU countries much easier. We currently live in a desert city that's likely to be severely impacted by global warming, so we consider moving a wise idea anyway and see no compelling reason to restrict it to the US.

And thanks for the income info link!

[Adrian42]

Finland's public schools reliably rank either first or close to first in the world,

Finnish ranks either first or close to first in the world as language that is most difficult to learn for a native English speaker.

And what makes Finnish schools rank that high is that even though the best Finnish schools are not top-notch, the average Finnish school is at an OK level.

We currently live in a desert city that's likely to be severely impacted by global warming, so we consider moving a wise idea anyway and see no compelling reason to restrict it to the US.

You are aware that Finland is as much northern as Alaska, and the climate is accordingly?

All sidewalks and streets covered with several cm of ice for months, temperatures of -20 °C and the ocean frozen so that you can walk safely on the ice, is what is called a "normal winter" even in southern Finland.

Finland is an extremely beautiful country, but the cold weather and the dark winters, and the way people are, are also part of living in Finland - and you also have to like these for being happy here.

[vault13rev]

Finnish ranks either first or close to first in the world as language that is most difficult to learn for a native English speaker.

We're aware of that. I'm sure my wife and I will have more than a little learning to do, but our kids are still young enough (not even in school yet) that they should be able to acquire the language very well.

We're also aware of the climate there, and I do admit it's a mixed bag - it has its pros and cons - but overall we don't find it to be much of a deterrent. Besides, as you mentioned, Finland is gorgeous.

It's our understanding that the natives of Finland would be charitably described as 'reserved', which is in fact part of the allure.

[Rosamunda]

If you work as a sole trader (TMI) or set up a limited company (Oy) you would be expected to have more than one customer. Otherwise this might be seen as tax avoidance (income tax rates being higher than capital taxation). But in practice I think the tax office takes a broad perspective on people who work as consultants because it is not uncommon to work on a project with one client for a year or two and then move to another. The best people to ask are the tax authorities themselves as they are very approachable. These people will answer email enquiries: www.intofinland.fi (tax and social security issues).

But, you need to make sure you get your rates right before signing the small print with your ex-employer/new client. You will have to pay into a Finnish pension fund and also make social security contributions. These will have to be built into the rates you charge your customers.

More info here: http://www.masuuni.info/articles/521/

[Pursuivant]

In any case, you would need to pay Finnish income taxes and then file tax returns to the US as well.