On Wed, 4 Apr 2007, Rob Terhaar wrote: > On 4/4/07, Wayne Johnson <wdtj at yahoo.com> wrote: > >> 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 At the U, for most employees, we add about 1/3 to the salary to get the total cost. So $30/hr salary would cost $40/hr to a research grant. No matter what the truth is, we all agree that the contract house had a very nice profit margin. Mike