Its a bit more complex than that. Heres a decent discussion on the breakdown... http://discuss.fogcreek.com/joelonsoftware3/default.asp?cmd=show&ixPost=102326

Its a bit more complex than that. Heres a decent discussion on the breakdown... http://discuss.fogcreek.com/joelonsoftware3/default.asp?cmd=show&ixPost=102326&ixReplies=12 http://discuss.fogcreek.com/joelonsoftware3/default.asp?cmd=... (In short theres a lot of other costs and considerations that have to go into your rate as a contractor.)