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and a key point regarding the two: contract/freelance rates are higher because there's no commitment from the employer regarding a stable stream of future work.
by a-dub 4y ago
and a key point regarding the two: contract/freelance rates are higher because there's no commitment from the employer regarding a stable stream of future work. also they're short term, so the actual gross difference is typically quite small.
where there's a general expectation that a w-2 earner will be budgeted for years into the future.
- tptacek 4y agoYep. If you're hustling and pretty good at sales, a 60-70% utilization would be a good year. So, right off the bat, you can see you need to be making a lot more money per billable day than you would with an FTE salary: at 50% utilization, you need more than 2x just to be in the black (after tax and benefits overhead).