What contract rate to quote a previous perm employer?

[nfoote]

Deal; Current contract ending with no extension (offered perm, kicked that to the curb). Emailed old boss I worked for a year ago as a perm employee (tho it was only for 6 months before I realised I wanted to be a contractor so quit) asking if he had any contracts open as he'd contacted me not long after my current contract started saying he had some open at that point in time (6 months ago).

To my surprise he's come back almost immediately saying they have a massive (for them) project starting soon and he wants to know my rate as I've never worked for him as a contractor. When I was with him I started and ended on £35,000pa with all normal permie benefits. What rate should I quote back to him now?

Additionally and more importantly, considering this would be direct without no agent pimping a cut in the middle, one would think the client would be more open to a higher (on my end) rate as they'd still be saving money not paying an agents quote? OR would the client potentially HAVE to have an agent involved? Remembering I use to be a perm there, would the agent who setup the perm role have a right to claim a cut if I went back as a contractor just over a year later???

[northernladuk]

You have asked us what to charge and but not told us what you actually do. Fail!

[kaiser78]

You have asked us what to charge and but not told us what you actually do. Fail!

Not sure it matters with the OP does - they should expect to return on same salary as when left with possibly a little room for negotiation for slightly higher, given it was only 1 year previous. If they have only been contracting for 1 year it is not going to make much odds.

[nfoote]

Not sure it matters with the OP does - they should expect to return on same salary as when left with possibly a little room for negotiation for slightly higher, given it was only 1 year previous. If they have only been contracting for 1 year it is not going to make much odds.

Indeed, I purposely left out what exactly it is that I do, as the question is more about new contract rate as compared to old perm rate.
Although what about the agency cut part of the question? The client specifically wants contractors on board, I can potentially save him (well both of us) from paying a agent.
In fact I can probably supply him a further two contracting mates of mine agency free Though locking myself in is obviously key first

[northernladuk]

You are a business. Think and act like one. Look at what he has for you to do, do some research on what that rate is out in industry, sell yourself to him and then charge 50-100 over market rate and then work him down.

Trying to match your old permie rate is just permie mentality. You are gonna look a right chump if you put youself in and say 250 a day and then find industry standard for that role is 300.

What you used to earn at an old company is a terrible benchmark.

[nfoote]

You are a business. Think and act like one. Look at what he has for you to do, do some research on what that rate is out in industry, sell yourself to him and then charge 50-100 over market rate and then work him down.

Trying to match your old permie rate is just permie mentality. You are gonna look a right chump if you put youself in and say 250 a day and then find industry standard for that role is 300.

What you used to earn at an old company is a terrible benchmark.

Cheers, good advice, think thats what I needed to hear.

[northernladuk]

Cheers, good advice, think thats what I needed to hear.

Scragmeister posted an interest snip in another thread. Copy below....

Check out itjobswatch. Not 100% accurate but give you a starting point.

Support Analyst 81 -33 £350 +3.70 % 1283 (2.15 %)
Support Engineer 179 -78 £238 +17.28 % 592 (0.99 %)
Support Specialist 433 -90 £413 +33.06 % 120 (0.20 %)
Support Consultant 455 -134 £330 +20.00 % 98 (0.16 %)
Support Manager 465 -99 £425 +17.24 % 88 (0.15 %)
Support Technician 478 -143 £213 +70.00 % 75 (0.13 %)
Support Team Leader 511 -106 £378 +67.77 % 42 (0.07 %)
Support Assistant 541 -120 £90 -85.88 % 12 (0.02 %)
Applications Support 195 +13 £400 +21.21 % 522 (0.87 %)
Desktop Support 278 -85 £165 +26.92 % 319 (0.53 %)
2nd Line Support 319 -99 £140 +3.70 % 262 (0.44 %)
3rd Line Support 325 -61 £236 -10.00 % 252 (0.42 %)
1st Line Support 346 -77 £93 -7.50 % 221 (0.37 %)
Applications Support Analyst 353 -54 £325 -4.41 % 210 (0.35 %)
Technical Support 356 -80 £320 +25.49 % 206 (0.34 %)
Helpdesk Support 394 -87 £125 +38.88 % 163 (0.27 %)
IT Support 407 -93 £144 -28.12 % 147 (0.25 %)
Server Support 445 -96 £263 +5.00 % 108 (0.18 %)
Technical Support Analyst 457 -79 £325 +16.07 % 96 (0.16 %)
Systems Support 461 -109 £315 -10.00 % 92 (0.15 %)
Desktop Support Engineer 464 -156 £135 +22.72 % 89 (0.15 %)
Network Support 465 -134 £325 +5.69 % 88 (0.15 %)
Project Support Officer 468 -90 £187 -32.18 % 85 (0.14 %)
Desktop Support Analyst 477 -116 £175 +32.07 % 76 (0.13 %)
3rd Line Support Engineer 483 -119 £238 +1.06 % 70 (0.12 %)
1st Line Support Analyst 490 -133 £78 -24.39 % 63 (0.11 %)
Senior Support Analyst 494 -92 £450 +63.63 % 59 (0.10 %)
SAP Support 496 -130 £330 -5.71 % 57 (0.10 %)
IT Support Analyst 497 -100 £184 +53.12 % 56 (0.09 %)
Project Support Analyst 500 -92 £258 +14.44 % 53 (0.09 %)

[Scrag Meister]

Talk of the devil. :-)

Where are you? London,Harrogate or Land's End? Makes a big difference what the rates would be.

Personally I wouldn't go trying to take a cut of an imaginary agent's margin, you could bring in competition from agent candidates if you are too near their rates.

Employ your mates, and charge your client 11% more than you pay them :-)

GL

[Wanderer]

I started and ended on £35,000pa with all normal permie benefits. What rate should I quote back to him now?

£35,000pa permie = 35/hour contract. Add 10% for not having an agency and another 10% because they never gave you a payrise when you were permie.

OR would the client potentially HAVE to have an agent involved? Remembering I use to be a perm there, would the agent who setup the perm role have a right to claim a cut if I went back as a contractor just over a year later???

Don't tell the ex-agent anything. What happens is between the client and the agent.

They can employ you direct if they want but you may be forced to deal though an agent (with the agent taking a very small margin) because some clients won't deal direct with contractors. Just let it ride and see what happens.

[Boo]

When I was with him I started and ended on £35,000pa with all normal permie benefits. What rate should I quote back to him now?

Well, how much do you want to earn ? If you want to know what your skills are worth you could put in a search at jobserve, or alternatively you could check out the jobstats website (google will find that for you).

Additionally and more importantly, considering this would be direct without no agent pimping a cut in the middle, one would think the client would be more open to a higher (on my end) rate as they'd still be saving money not paying an agents quote? OR would the client potentially HAVE to have an agent involved?

There is no necessity whatsoever for the client to have an agent in the loop, but you will find that their HR department is addicted to "referral fees" (kickbacks) and will spit the dummy if your future project manager suggests you go direct.

Remembering I use to be a perm there, would the agent who setup the perm role have a right to claim a cut if I went back as a contractor just over a year later???

Don't think so - afaik 6 months is the longest handcuff clauses can work under UK law.

Boo