Current compensation conditions

[mark]

On Mon, Nov 22, 2010 at 1:23 PM, Michael ODonnell
<michael.odonnell at comcast.net> wrote:
>
> I might be invited to join a team of developers on what they're calling a
> "contract" basis (tho it'd actually be a W2 rather than 1099 relationship;
> hourly, no benefits) and they've asked me to quote a rate.  As it's been
> a while since I've had to dance this dance I wonder what other people
> are seeing in the market WRT compensation trends - have the generally
> depress{ed,ing} economic conditions affected engineering budgets to the
> extent that it ought be considered a major factor when quoting rates?

I would look at the various job sites (dice, monster, careerbuilder,
etc) and look at similar job listings that provide an annual salary
range (this will be limited, I know) for the same skill set and years
of experience as the contract you are considering requires.  Then,
calculate an average salary, divide by 2080 hours, and that becomes
your starting point for negotiations. If you need insurance or other
benefits, increase the hourly amount accordingly; e.g., if you have an
opportunity to acquire heath insurance under COBRA, and the premium is
$1,200 per month, then (1200 x12) / 2080 = an extra $6.92 added to the
per-hour rate.  You can scale that up or down depending on your costs
and on how much you are willing to cover that cost out of the "base"
rate.

mark