1099 vs W2 Contract Rates
How do you typically calculate your billing hourly rate 1099 vs W2 contractor vs W2 Employee work? I've roughly followed this pattern, but I am curious what others do. W2 Employee: 100% Target comp (this one is easy. We talk about W2 Employee comp all the time). W2 Contractor: 125-150% Target W2 Employee Comp. Less benefits, no PTO, etc. 1099 Contractor: 150%-200% Target W2 Employee Comp. No benefits, no PTO and more taxes.
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KDkk20 Dec 7, 2022My 1099 rate is 180 an hour
Amazon jobby12 Dec 7, 2022
What do you do as a contractor?
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KDkk20 Dec 7, 2022Full stack development. I do it through toptal, lmk if you want a referral into it
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muskoil Dec 7, 2022Double the SS and Medicare deductions for 1099 bc you’ll have to pay the employers half at tax time.
My 1099 rate is 50% higher than my W2 rate to cover self employment taxes and lack of benefits.