Good news, for a change (Penn: sales, insurance, unemployment)

[tnwebwise]

Hey all,

So, I lost my job a few days ago. I've been in the same industry for 2 decades and in the last 3 days, this has happened:

• I took many bits of advice from several of you - Thanks
• I messaged most of my former contacts/clients a Happy Holidays letter and noted I was no longer with my company and on very amicable terms.
• I ran the numbers, my former company made $250k a year profit after they paid for my butt
• I planned to go into business for myself and market myself for a job
• I worked non-stop for 2 days, and now 60 or so common sites are updated with my info to make it easy to find me for work or for hire. For example, LinkedIn has a full profile etc
• I built/building a company site for my services and talents
• I went to LinkedIn and added all the clients (that I hadn't already as I like to network)
• I added all my certifications, became a job seeker on LinkedIn for $24 a month

Before I got all that done I had a few clients come to me. I have 2 request for proposals on 1 client for 2 large website rebuilds. I then got 2 companies asking me for interviews as a remote worker. I did one of the Interviews today and it went great. I have (if I accept) a 3-4 month project on a 1099 or W2 at full time and then it might continue past 4 months. I have worked for the client before and they are not the pain in the ass type, so that's a plus. I got a small gig to fix a php based site. I have another Interview tomorrow with a firm out of Prague with office in Boston that I had helped them stay on schedule after the primary developer died. I got 20% of the emails I sent out with positive inquiries.

Please note that the company I worked for is from Prague, with US offices and sells licenses to the software they make. I was in a role to be the consultant to help the clients get started or to solve integration issues. Networking with the clients was part of that roll. I didn't want anyone to think I was stealing clients from the company, as they do not service them in the ways I can now do. Before I worked for the company I was a partner/client with the company and upon getting hired had an agreement that I could go back to that ability if I ever left for any reason. When my former boss came here to let me go before xmas, he said I have no legal limitations to work in the field, with former clients or partners and in writing.

Then today, <Flame war starts in 3, 2...> I LOVE SNOW! < End flame war> Anyway, I get a call from my former boss and even though I got a decent severance package... He offered to but me back as a Gold partner, gave me a $14k license for my own use and then gave me an unlimited sites per server license worth over $45k... then a certification I took for the company and passed while the exam was in beta, became official (so I am certified in the former companies product) again making my own little business idea far easier to play with the top partners. And as if to add icing on the cake, sent me 3 clients that he personally referred to my little endeavor and asked if he and the some of the sales team could send me more over time.

Lastly, what confuses me and not looking a gift horse in the mouth... is why? Even though I try to pay it forward and help others when I can, I always aim to be positive in the most adverse conditions and while I know we all go through a lot in life, I feel I have more that most and could tell you stories that most think are bluffs or lies until I can back them up. I have NEVER been, that I can recall, the one that seems to have semi-decent thing happen to me. I just feel weird that I got let go in the way I did and then the former company goes above and beyond to help me, not complaining its just really weird for me.

Now, my questions for the masses here:

• Whats the process in Penn (so that I don't get in tax trouble later) to open a sole proprietorship?

• How does insurance work here? I will not be getting a cobra as the US portion of the company is less than 10 staff. There are many websites.

• While working on some projects, I still want to look for work unless the contract work becomes steady. Is that frowned upon while interviewing?
• Is it normal in any form for a company to let you go and help you so much? I have never heard of such a thing.

Sorry for the long read. Again, thanks to you all as Christmas and after was looking scary, now its looking like at least the next 3 months will be ok and I can still work on the SteamPunk Victoriana restorations. On that note, we have hot AND cold to the second floor kitchen sink. The bathroom however is a redo, which fits into the plans actually. I'm on LinkedIn and looking to network, so if you have an account there I'd love to add you.



- Neil

[Hopes]

You should do an LLC instead of a sole proprietorship. It protects your personal assets.

How to Form an LLC in Pennsylvania | Nolo.com

Corporations

As for insurance, you can get some basic quotes from the internet sites as a guide, but you'll need to talk to the insurance company directly to get an accurate quote.

Common companies for this area are Highmark BC/BS, UPMC (evil), United Healthcare, Health America, CIGNA, and Aetna.

Be glad COBRA isn't available to you. It costs a fortune. You'll save money buying a individual policy. Just make sure your coverage doesn't lapse. Buy a policy right away so you don't run into pre-existing condition issues. As long as you don't have a lapse in coverage (I think there is a 3 month grace), your new insurance can't impose pre-existing condition clauses on you.

Is it normal for a company to help so much after letting you go? Many companies treat their most respected employees very well when they let them go. It's not uncommon to be retained via contract too. It's very possible they shifted you from a salary employee to a contract employee to save money via benefits. They may not want to burn bridges with you so they can contract with you as needed. There's the added benefit of not having to pay you unemployment if you are working.