4 ms·
Is it really double? The employer's side of FICA adds ~$15k , whatever the state adds to the employer adds a few more thousand. Lets be extravagant and say ea
by mahyarm 15y ago
Is it really double? The employer's side of FICA adds ~$15k , whatever the state adds to the employer adds a few more thousand. Lets be extravagant and say each of these line items cost $12k/year ($1k/month):
* Office space, utilities, parking space
* Health Insurance
* Administrative Overhead
* Office Equipment
It comes out to around $168k/year. And I know almost nobody spends that much on each of those items.
- mechanical_fish 15y agoYou left out the time required to market yourself and look for new gigs, the allowance for empty space in your schedule (it's hard to manage a pipeline even in a factory where you have insane degree of control; don't expect perfect scheduling as a consultant) and a safety margin to cover the clients who don't pay thir bills. That said, "double" is a rule of thumb. Physicist law states that 1.68 is equal to two for rule-of-thumb purposes. ;)
- moocow01 15y agoActually I look at some of these breakdowns for large corps. You're pretty much spot on with your number. 100k employee is usually a line item at around 160k. Obviously depends on the org and role but thats a very safe average.