You run a business.
This is how you run it well.

Every compliant invoice from an incorporated Ontario IT consultant must include: your corporation's legal name, your HST registration number, the HST amount as a separate line item (not embedded in the total), the invoice date, a unique invoice number, your client's legal name, a clear description of services, the period covered, and your Net 30 (or agreed) payment terms. Missing your HST number or embedding HST in the subtotal are the two most common errors — both can trigger payment delays and create CRA exposure.

On timesheets: log daily, not weekly. Reconstructing a week from memory on Friday afternoon produces entries that won't survive a dispute. If your contract has deliverable milestones, your timesheet entries should map to them — "requirements workshop prep" not "worked on project."

The 1,000-hour formula: Take your target annual pre-tax personal income and divide by 1,000. That's your minimum viable hourly rate as an incorporated consultant. Why 1,000? A full working year is roughly 2,000 hours — but realistically, incorporated IT consultants average 230 billable days at 4–4.5 productive hours each after meetings, admin, travel, and project gaps. That's ~1,000 true billable hours. The formula also doesn't yet account for your corporate overhead (accounting, insurance, software, HST you can't recover). Add 15–20% to that number for a sustainable rate.

On negotiation: whoever names a number first anchors the conversation. If you're asked for your rate expectation before an offer is made, it's professionally acceptable to say "I'd like to understand the full scope and budget first so I can give you a number that works for both sides." That isn't evasive — it's how experienced consultants protect their negotiating position.

The Ontario threshold most consultants miss: If you're earning over ~$50,000/year from consulting, incorporation almost always makes financial sense — primarily because of the small business tax rate (currently 12.2% in Ontario on active business income vs. personal marginal rates that can reach 53.5%). But incorporation only saves you money if you're not taking everything out as salary immediately. The tax benefit lives in the retained earnings inside the corporation. If you're drawing out every dollar you earn, talk to an accountant before incorporating — the administrative overhead may not be worth it at that stage.

What E&O actually covers: Errors & Omissions (professional liability) insurance covers claims that your work caused financial harm — a system you designed failed, advice you gave led to a bad outcome, a deliverable missed the mark. In insurance IT specifically, where a defect in a claims integration or a data migration error can have regulatory consequences, this isn't a nice-to-have. Many enterprise clients — particularly regulated insurers — now require proof of E&O before a contract is signed. $1M per occurrence / $2M aggregate is a typical minimum ask.

The IP clause most consultants miss: Many standard IT consulting contracts include language that assigns all intellectual property created "in connection with" the engagement to the client. That phrase is broader than it sounds — it can capture tools, templates, frameworks, and methodologies you developed before the engagement and brought with you. Before signing, ask for a carve-out for background IP: work product you owned prior to the engagement and any general-purpose tools you develop during it that aren't specific to the client's deliverables. Most clients will accept this ask — but you have to make it before signing, not after.

The HST rule that catches new incorporates: Once your consulting revenue crosses $30,000 in any 12-month period, HST registration is mandatory — not optional. You must begin collecting and remitting HST from that point. Many consultants don't register immediately and then face back-remittances plus interest. The good news: once registered, you can claim Input Tax Credits (ITCs) on HST you've paid on business expenses — software, professional services, equipment — which partially offsets what you remit. Register early; don't wait for the threshold to catch you.