Recruiter Daily has identified 2008 Top Ten Jobs according to Talent2, as follows:

What are 2008's hottest jobs?

Talent2 has identified the top 10 jobs that will be hugely in demand in 2008, following a survey of recruiters.

Talent2 practice manager, Neil Galvin, says the hottest jobs will be:

1. Learning and development managers ($80K-$160K);
2. Tax accountants ($120K-$140K);
3. Financial controllers ($150K-$180K);
4. Internal communications managers ($100K-$200K);
5. Corporate social responsibility managers ($120K-$180K);
6. FMCG brand managers ($100K-$135K);
7. Solutions architects ($160K-$200K);
8. Engineers - all types up to $300K;
9. Security managers (IT) ($150K-$250K); and
10.Marketing campaign managers ($80K-$100K).

Galvin adds that pressure on salaries will be "enormous" this year as the shortage of skilled workers escalates, according to Talent2 practice manager, Neil Galvin.

Click Here for the full article including Recruitment Predictions for what is shaping up to be a very busy 2008!

News from Independent Contractors of Australia highlight a recent and important Federal Court decision regarding income splitting by independent contractors. Read on to ensure this doesn't happen to you!

Overview
Whether independent contractors can split income with a spouse and claim business-like tax deductions has been an ongoing tax debate in Australia for many years. A Federal Court decision on 5 December last year (2007) has brought more clarity to the issues.

The Federal Court has upheld the position of the Australian Taxation Office that two independent contractors---one working through his own company and the other working through his discretionary family trust---did not pass the results test under the Personal Services Income tax laws. This means that all income earned by the two independent contractors will be taxed as if it were their personal income. They will not be able to split their incomes with their spouses or claim business-like tax deductions.

Some will claim that this is a disaster for independent contractors and for the status of independent contractors. ICA does not share this view. In fact, the Federal Court's decision is strongly consistent with the position that the ATO has taken for a long time. Those who predict tax 'disaster' for independent contractors are making comment based on outdated views of the tax laws---laws which have been changed under the PSI rules.

In fact, the Court's decision does not change access to business tax deduction for most independent contractors, nor does it alter the capacity to split income legitimately with a spouse for many independent contractors, depending on their circumstances.

The following points are relevant:

• Many tax lawyers and accountants have often argued that income can be split with a spouse by working through a company or discretionary trust structure. The ATO has always been wary of such arrangements and has made it clear that such arrangements could be subject to investigation and possible rejection.
• Tax structuring through companies and trusts has been the basis of allegations in the past that some independent contractors access tax deductions to which they would not ordinarily be entitled. These allegations were investigated by the Ralph Review around 2000.
• The Personal Services Income tax laws were introduced to address this allegation and to create some clarity for independent contractors.
• The PSI rules were largely successful in creating clarity with one exception. That exception was for company and trust structures.
• In 2006, the ATO released a ruling which stated that it would normally accept income-splitting for independent contractors structured through partnerships. It stated sensible reasons for this.
• In 2003, the ATO announced that it would conduct a test case programme through the courts in relation to company and trust arrangements. ICA supported this test case programme. The December 2007 Federal Court decision is the first outcome of the test case programme of which ICA is aware.

ICA's conclusions:

• Individuals: The case doesn't affect independent contractors who operate on an individual basis.
• Partnerships: Independent contractors who work through a partnership are unaffected and should normally be able to split income with their spouses.
• Companies/trusts: Independent contractors who work through companies or trusts need to be careful about splitting income, retaining profit and claiming many business-type tax deductions.

For more information visit www.contractworld.com.au

Link: http://www.ato.gov.au/businesses/content.asp?doc=/content/69534.htm&mnu=35464&mfp=001/003

Independent Contractors of Australia is a great source of information for Independents consultants and contractors. Via the ICA website they advise that the ATO has developed an excellent section on its website which is recommended to all independent contractors/small business people---whether they are starting as a business or operating as an existing business.

The information is simple, factual and without any marketing 'spin' which can sometimes colour the opinions given by tax planners and advisors. The ATO information is presented in a user-friendly 'layered' style where you can access key information and then cross-reference to more detail according to your requirements.

If you understand the basic facts, you are better armed to make decisions regarding your preferred business structure and the tax issues and obligations that flow from that. The information also provides links to registration information and processes you may require.

The website information covers such topics as:
• Are you in a business?
• What business structure might you choose?
• Do you need a tax file number, Australian Business Number, GST registration?
• Issues for running a business at home.
• Contractor and consultant issues
• Starting a business
• Tax concessions for small business
• GST information
• What are Fuel Tax Credits?
• Your record keeping
• PAYG requirements if you have employees.
• What if you use contractors?
• Superannuation
• Salary sacrificing
• Fringe Benefits
• Lodging Business Activity Statements
• Income tax returns
• Issues if selling your business
• Helpful ATO contact details. (phone numbers etc)

Click here for this key ATO website link.

aCE has also created a very basic flowchart in terms of what questions we're looking to have answered when setting up as a member of our Talent pool... click here for details.

So don't let ignorance be your excuse... learn about setting up your business for success - starting now!
Good Luck!
Denise

According to an article in Recruiter Daily (5/12/07) two in five workers plan to move jobs early 2008. Two separate surveys of Australian employees have found that around 40 per cent plan to look for a different job in the New Year.

Shortlisting company final5's survey of more than 300 workers found that 48.5 per cent planned to leave their job in the New Year, with those aged between 18 and 34 (59.7%) keener for change than those aged 35 to 54 (44.2%).

More part-time workers said they were "very likely" to move to a new job (23.3%) compared to those working full time (11.8%).

"More money" was the main driver for those planning a move (18.7%), followed by "bored, want a change and it's time to move on" (14.6%) and "seeking further career advancement" (10.1%).

Questioned about their career drivers, 72.9 per cent of respondents said it was important for them to "feel like I am making a difference", but this sentiment was more prevalent in Melbourne and Sydney than in Brisbane.
Even happy workers are set to move.

A second survey, by Brisbane-based HR consulting firm Astor Levin, also found that about four in 10 workers were about to seek employment elsewhere.

Using its new employee value proposition survey, Astor Levin questioned more than a thousand employees and found 40 per cent were planning to look for a different job in the next six months. This included one in four employees who claimed to be satisfied with their current workplace.

Some 26 per cent reported money was their primary reason for moving, while for more than 50 per cent of respondents, factors such as good leadership, work/life balance and career advancement were more important.

Well here's hoping you have had a soft landing into 2008 like me. After 10 days camping in Narooma (yes, that's right I said camping!) it is now back to the office with sense of excitement and anticipation for the year ahead. Whilst some of the financial indicators suggest some challenges ahead, ie rising inflation and likely interest rate rises it must be remembered that this is a by-product of a growth economy. Consequently the outlook is good for business, job opportunities and profits.

So it's back to the business of working with our clients, alliance partners and talent network to deliver on our mandate to engage talent to drive business results!!!

Here's to a prosperous and contentment filled 2008 for us all!!

Cheers, Deirdre