On 4/4/07, Wayne Johnson <wdtj at yahoo.com> wrote:
> What I did was take what I was making as a full time developer, add in 7.5%
> for the self employment taxes, Another 6% for vacation/sick and then a fixed
> monthly charge for insurance, etc if you need to.  Then split this all up to
> an hourly charge.
>
>  Remember that there is always down time between contracts, so short term
> contracts need to charge more for the between the gaps overhead.
>
>  I was charging $72/hr for short term and $60 long term YMMV.
>
> At one point I was working for a contract house (at $30/hr + benefits) and I
> later found out the contract house was charging the client $75/hr.  They
> were making a VERY nice profit on my labor.

one thing that you have to understand is, that having an employee is a
lot more expensive then just paying their salary. Things like SS,
benefits, etc.. aren't free- and your employer has to pay quite a bit
more to the State to have you on as a full-time employee.

If they were paying you $30/hr, i bet your overall cost to them was
closer to $45-50/hr