working out rates

[aslong]

Hi there,

I am currently employed with a UK IT company and earing around £30,000 a year. I am soon leaving and moving to Copenhagen. While I am there I will be completing contact work for the same company.

How do i begin to work out what rates to charge? Danish contractor working for a UK company that he was once an employee of?

I have no experience of contractring before so am a bit lost.

Thankyou,

Russell.

[insight14]

Hi Russell

A £30k permie job would probably equate to around £180/day on the contract market in the UK. You'd have to check the local market in Copenhagen to find out if this is high or low for them.

[Ardesco]

up it to £280/day you'll have more costs as a contractor. Whats the worst they can do, bully you back down to £180??

[insight14]

up it to £280/day you'll have more costs as a contractor. Whats the worst they can do, bully you back down to £180??

Absolutely.

[aslong]

hi, thanks for the answer.. i had come up with a figure of about £25 an hour, which is about £180 a day isn't it.

the thing is, the company i work for is a pretty small one and I'm on very friendly terms with them. the fact they are prepared to give me contract work after I leave the country is very kind of them, so I don't want to push them *too* much.

[aslong]

oh and i'm on £30,000 but currently get a lot of benefits (gym membership, private health care, 10% annual bonus, life insurance, 25 days holiday, etc).

i'm struggling to work out how to take all of this into account.

[MikeB]

oh and i'm on £30,000 but currently get a lot of benefits (gym membership, private health care, 10% annual bonus, life insurance, 25 days holiday, etc).

i'm struggling to work out how to take all of this into account.

Working out how much you'll earn through the contract should be fairly straightforward based on your expected rate, length of contract etc. Your payroll/HR department should be able to give you the value of your current package including benefits.

[threaded]

Why a move to Copenhagen?

[Mailman]

tell em £300 a day plus travelling expenses

Mailman

[simes]

Add up all your salary and benefits - then double it.

Then divide it by the number of working days minus all the holidays per year.

.........is a basic rule of thumb.