Re: Contractors & Per Diem

Subject: Re: Contractors & Per Diem
From: Peter <pnewman1 -at- home -dot- com>
To: Anthony Markatos <tonymar -at- hotmail -dot- com>
Date: Fri, 17 Mar 2000 08:32:00 -0500


Anthony Markatos wrote:
>
> Question for all listserv contractors:
>
> I am considering temporarily relocating to take a contract position. In
> such situations, is per diem:
>
> * A separate bucket of money above and beyond hourly pay?
>
> * A percentage of the hourly pay?
>
> All responses appreciated.
>
Some negotiation pointers:
Remember, as in in any negotiation, don't get too petty nd keep a
balance. If you can, find out the companies policy. I have found that
many companies are quite up front about their policies. Just ask them.
If they tell you they have no policy, your negotiation skills will now
come into play. I never negotiate this until the hiring is agreed upon
and the pay is set. I then talk about travel and per diem.
The government (IRS rate) is rather low compared to reality. It is
intended for use by those who may have less than adequate records.
Negotiate a realistic per diem rate for the area you are going on
temporary assignment to. Consider the following:
Hotel or other lodging, should not be a flea bag, but not super luxury.
(remember, you are going to live there for a while and just a bedroom
gets claustrophobic.) Many corporations will provide you with
comfortable accommodations with maid service.
Food, you cannot cook all your meals. Try for just breakfast and dinner.
You eat lunch out anyway.
Local transportation. Your car is home.
Laundry and dry cleaning. This one is bigger than you think. Hotels will
charge excessive rates. If they want you to work, you may not have time
to futz with this.
Travel home on weekends. Many companies have a policy permitting this at
least every other weekend.


HTH

--
Peter

Arguing with an engineer is like mud wrestling with a pig.
You soon realize they both enjoy it.




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