First, look from your perspective. You won't get benefits, so that's an extra cost to you. And no guarantee that you'll be converted and can be let go at any time. So it's risky. Risk deserves risk premium.
People here say it's 20 to 25% higher. I would say the risk is much higher these days. So 50 to 60 per hour is your bottom line.
Now look from the company's perspective. If they go through a head hunter firm to get contracting resources, the markup is at least $25/hr. So to get someone like you through a agency, they'd pay at least 75 to 85 per hour. So are you talking about direct contracting with you them or through some agency? If direct, you need to negotiate towards what they are willing to pay, not what your bottom line would be. If they ask you to go through an authorized agency, the agency hasn't done any work and the money just falls into their lap, right? So they obviously don't deserve the $25 markup.
Now there's the risk factor for the company. Obviously you are a low risk resource given that they're willing to offer your a permanent job. So it is normal to pay a bit more comparing to some no name unknown resumes.
Would they pay for your relocation (sounds like you are not in Atlanta) outright? Or have to wait until you become an employee?
Now what can be an incentive for the company to actually convert you, if that's even a possible reality months down the road? If you do a good job but you seem to cost a bit too much as a contractor, that'd the incentive, correct?
Since they asked you to do this, well you've got more bargaining power. They'll most likely to haggle anyway, so you have to start at the high end, even outside of the high end, and negotiate down. The reason I spent my valuable time to write all these instead of just give you a number, my friend, is for you to have the ammo to haggle. It's business dealing, negotiation is part of life, your future performance rating, bonus, raise, promotion, all require negotiation skills and patience. Start practicing now. Good luck.
People here say it's 20 to 25% higher. I would say the risk is much higher these days. So 50 to 60 per hour is your bottom line.
Now look from the company's perspective. If they go through a head hunter firm to get contracting resources, the markup is at least $25/hr. So to get someone like you through a agency, they'd pay at least 75 to 85 per hour. So are you talking about direct contracting with you them or through some agency? If direct, you need to negotiate towards what they are willing to pay, not what your bottom line would be. If they ask you to go through an authorized agency, the agency hasn't done any work and the money just falls into their lap, right? So they obviously don't deserve the $25 markup.
Now there's the risk factor for the company. Obviously you are a low risk resource given that they're willing to offer your a permanent job. So it is normal to pay a bit more comparing to some no name unknown resumes.
Would they pay for your relocation (sounds like you are not in Atlanta) outright? Or have to wait until you become an employee?
Now what can be an incentive for the company to actually convert you, if that's even a possible reality months down the road? If you do a good job but you seem to cost a bit too much as a contractor, that'd the incentive, correct?
Since they asked you to do this, well you've got more bargaining power. They'll most likely to haggle anyway, so you have to start at the high end, even outside of the high end, and negotiate down. The reason I spent my valuable time to write all these instead of just give you a number, my friend, is for you to have the ammo to haggle. It's business dealing, negotiation is part of life, your future performance rating, bonus, raise, promotion, all require negotiation skills and patience. Start practicing now. Good luck.
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