As a boss you might be paying a contracting firm $200,000 a year for a contractor. This concludes the contracting firm cut as well as that person’s pay. But your out of pocket is going to be $200k for this person.

How do you calculate what the FTE person doing the same role be paid in total compensation? Would that equal the same amount as what you are paying for a contractor?

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70% of the hourly cost is a guesstimate

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