The common question of whether you should be a subcontractor or an employee may not be within your decision making process, however, you need to be aware of your rights before you decide.
Subcontractors, contrary to what most believe, are entitled to superannuation and workcover. Most employers think that they can get away with not paying these and whilst you may opt for this way thinking you are getting more in your hand now, you need to consider the company you contract with will have these obligations. It’s for your best interests.
Obviously there are benefits to being an employee and these include having your taxes and super paid and entitlements for you when your not able to work, such as personal leave. If the company doesn’t want to give you a choice, you need to understand your rights before taking up their offer and they need to know you know your rights as well.
If you are an employer asking what is the best way to engage with a new person, then you need to consider your legal obligations and how to work out whether you are bringing on an employee or contractor. Use this link to the ATO site and use their decision tool to get it right.
https://www.ato.gov.au/business/employee-or-contractor/how-to-work-it-out--employee-or-contractor/