“We love what we do because we have a real opportunity to affect people’s lives, and make their experience as an interim professional a really positive one.”
So what rate should you charge yourself out at? Deciding on your day rate is one of the most important early decisions you will make in your interim career – and for some it is one of the most daunting. It needn’t be. In fact, fixing a day rate is deceptively easy.
There is a simple formula to get you started. Just add the value of your benefits to your annual salary and divide this amount by 220. The final figure will be your minimum daily rate.
Let’s explain. Typically, an interim HR professional will work 220 days a year – a figure that allows for weekends, holidays and some down time between assignments. What’s more, it is also important to remember that as a professional interim you won’t be entitled to holiday or sick pay, or any other additional entitlement. And, as a result, your day rate needs to include a premium for providing these benefits from other sources.
One final word of advice. Professional Interim Managers are normally paid through their own limited company or via an umbrella company so you also need to remember you will be responsible for Employer’s National Insurance contributions, insurances and the other costs associated with running a business. These need to be accounted for when deciding your daily charge out rate.
If you need more information on this or any other aspect of becoming an interim professional, please contact one of our consultants.
I am currently looking to recruit an experienced HR Business Partner to cover maternity leave for a Full job specification
This is your starting point for a minimum day rate. The rate is based on an assumption of 220 billing days per year which takes into account eight public holidays and 32 non-billing days. In some cases the non-billing days might be higher. It also includes the allowance for Employer's National Insurance. For more details, click here.