Rashid Gilanpour

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The hourly rate of a contract or freelance employee is likely to be much higher than their fair market salary. An individual who might be able to secure a job for $40,000 per year or $20 per hour might easily command $50 per hour as a freelance employee. This is normal because they have to make a living on fewer hours (to accommodate hours spent selling and admin work). Also, employers get the benefit of avoiding things like employment taxes (sometimes), benefits, and other expenses associated with long-term employees.
The Slicing Pie Handbook: Perfectly Fair Equity Splits for Bootstrapped Startups (Mike Moyer's Virtual Dojo)
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