Can you help explain why a team would be able to afford hiring an individual under PDM at a higher salary but unable to offer the same package under the Traditional route?

For context, I’m currently negotiating for a role and have expressed some of my concerns. My recruiter has been very helpful, but I’d like to better understand the reasoning before making my decision. The offer is $100k for PDM, but $85k max if brought on as Traditional.

Thank you for your help and any additional thoughts!

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As D1 alluded to, the project is likely looking at your fully burdened rate, not your direct labor rate. The burden is significantly higher for traditional track practitioners.

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For traditional there are more benefits like pension, paternal leaves, more bonuses etc etc. although I think salary offers for traditional are more than PDM.

Agree with both D1 and D2. Salary is just a fraction of how much you cost Deloitte. And the money they put into traditional people is far more than they do PDM. In addition to benefits already mentioned, traditional also gets more PTO, currently PTO that counts towards utilization, higher bonuses, more training and growth opportunities, and much more.

PDM salary is lower than traditional no doubt

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