Just the other week I had a candidate who asked me the bill rate and I responded with a range where I thought would make the individual competitive. Prior to the rate question I had asked him to elaborate on his experience. He provided me with very little feedback, which left me wondering how much depth he really had with the tool.

I indicated that in order to be competitive I felt we need to be around XX. He did not think my number was competitive and went on to chide me on how he felt “Competitive” was a very weak and lame word in itself, that he, ”does not compete” and that he, “provides a highly skilled service”  I wasn’t inclined that day to argue the point, knowing I had another candidate who provided me with a very detailed four paragraphs which clearly outlined his background.  His depth with the tool was evident, and I moved forward with him.

Any client will have limits on pay rates and we always assume that there is outside competition on any given client. A recruiter can give a ball park number which we think would get the client interested. However the client will want a resume and if the resume lacks enough depth on it and the rate is higher than others we will not get the call to have an interview.

Negotiating your rate will depend on various factors which have to be taken into consideration. The first one to consider is location of the project. Every region or city’s cost of living will be different. Will you need to travel if so how much travel expense will you incur for travel and temporary housing.

Duration is another important variable as it has a great effect on the first variable which is location. A longer term duration typically allows for a reduced expense on the travel side as a 6 -12 month lease is usually available versus a monthly rate.

Another consideration is the benefit package. Does the consulting company provide benefits such as Medical, Dental, Short/Long term Disability and 401(k)? What are the premiums for these benefits and how important are these benefits to you.

How many of the skills requested do you have? If you have all the skills required and several of the beneficial skills you are a much stronger candidate.

Will you be able to gain additional skills to improve your marketability in the future? How long have you been out of the workforce is another factor to consider as possible tradeoffs to consider in your final rate.

Eventually the recruiter will ask the salary question and likely not until he has a good idea of your experience with the required and beneficial skills. If you are pressed with the salary range question the subject is open for discussion so offer a range. If you are negotiable on that range indicate that prior to stating the range.

Many times when I ask the compensation question, I am asked about my experience with the client and if I have a feel for what the client may tolerate. Many times we do have a good idea, either through past experience or as is sometimes the case, being explicitly told by the client upfront. However, as the IT industry has hot skills, niche skills and the combination of separate skills, which all must be factored in when submitting a final bill rate to the client. As mentioned previously, typically there are others aggressively pursuing the same position.

Your best bet is to be flexible and talk through the rate question to formulate a number you and the recruiter and hopefully the end client will all feel good about.