Re: Rates

Subject: Re: Rates
From: Lauren <lauren -at- writeco -dot- net>
To: techwr-l -at- lists -dot- techwr-l -dot- com
Date: Sat, 23 Oct 2010 13:27:15 -0700

On 10/23/2010 10:30 AM, Richard Mateosian wrote:
> Counter with 50. ...RM

Against an offer of $22? How helpful. If the job is not so important
that Anon needs to take it right away, then I would want to say, "My
rate for this job is $50 and we can talk if you can make a reasonable
offer." But I would also understand that $50 is likely so far out of
the ball park that the company will walk and not consider any negotiation.

I also agree with Ed and Keith.

Anon, I think that it is a bit insulting that they will only offer you
what you were paid on salary, since they are saving so much by not
having you on the payroll. Additionally, they are only offering you
less than two days worth of hours of work per week.

I would look at what sub-contractor's in the area are making (dice.com
is helpful) and add about $10-15 to that hourly rate to assess what I am
worth. Sub-contractors are often W-2 employees of companies that take
40% of the billed rate. So divide the offered rate by 0.6 to see what
the client is paying. At $22 per hour, your company could pay an
employment agency $37 per hour to get a $22 per hour employee. You can
make an educated guess that their high end is $37 per hour, so you
should probably stay below that, but also consider that they will likely
be in a position where no one will place an employee for less than $25
per hour, which is a $42 per hour bill rate. As an independent
contractor at a job where you made $22 per hour, you should be able to
bill $32 to $37 for the same job.

Consider that this company has little money and also consider that you
already know the job and the company. Use this information in your
negotiations, so that you can be sympathetic to the company's needs.
You may also request perqs, like telecommuting. Avoid rates that end in
5 or 0. I do not know what the most appealing number is, but I think 2
and 6 are among those appealing numbers. So tell them you need $36 per
hour, but accept $32 if they offer it.

Lauren




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Follow-Ups:

References:
Rates: From: Anon TWer
Re: Rates: From: Richard Mateosian

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