Let me start by giving you some credentials. I have a BArch and 5 years of experience. I've never been exclusively behind a desk. My 2nd day on the job I was on a roof doing a ROCW. Gradually my responsibility has grown to the point where:
I currently have 8 clients I am working with directly in CA phase and 3 in Design phase. 7 of the 8 in CA I worked almost exclusively on the design. I usually take most of my projects from pre-design thru contract close-out, including administering the bidding process and contract signing. The projects I am currently involved with range from $75,000 to $550,000. I have done CA on projects that exceed $2 mil.
I am not licensed. I work in the (mid) southeast. we are what I would consider an extremely small firm.
You have to do the hard work yourself. How much are you being billed at? Your company is either billing hourly or via a flat fee (more likely). If later, work your hours backwards. Take the multiplier (less for small firms, 3.5 as default) yaddi yadda. Easy.
Here is the punchline: I (or whoever) will gladly do your job for 10%.less. And their replacement will do it for additional 10% off. It's that kind of a shite state of affairs.
The key is to survive. Do whatever it takes to do so.
3Y - it's very relative. how well is your company doing overall? do you know what the fees are on those projects? to some degree, what you're being billed out at is less relative than the actual fees vs. the actual time you're spending on them.
for reference, a 75k project is, maybe, getting a 7k fee. a 550k project could be getting a 50k fee (or less or more, depending). point being, those don't sound like big money makers but they do require real time. if you were being paid 50k, for example, then the total fees on those 2 projects wouldn't cover your actual expenses (your direct salary, taxes, benefits, overhead for the office, other people's time on the projects, etc.).
all that's to say what the numbers tell us: small firms tend to pay less than large corporate firms. no one here's going to be able to give you an exact number though...
I am currently working on another project around $150k and another around $350k with a second phase of $250k.
we are currently in June.
I'm going to VERY conservatively estimate a fee schedule of 7%. That's somewhere in the neighborhood of $150k in fees over 7-8 months. And I'm not sure what you mean by "benefits" and "other people's time on the projects".
rusty - amen to that. i wish my fee (just my office) was that much for even the institutional projects.
3Y - benefits would include... oh, just look at my last blog post. "other people" would be if anyone other than you is working on the projects (and billing time). they may not be - i don't know.
3Y- Is there a way where you could actually look at the contracts your firm signed with the clients? Maybe you could see the hourly rate at which you are being filed out at. My firm charges out a 2.5 multiple. Once you have this crucial info, you can then plan your next move.
I'm pretty sure that myself and the other intern are billed just over 3x our actual 'wage'.
The majority of our projects are handled from start to finish by one person. This is almost ideal given then budget of the projects we're given. But based on the shear volume of projects we turn over, that turns into a lot of fees.
I have a question regarding billing rates... after recently moving to a different market (only a couple of hours away though) and after a few months of work, I discovered I'm billed at 5x my wage! I understand I'm salary, but dividing my salary by 2080 I come in at 5x. At my previous employer I was 3x and in a greater metropolitan area, ie higher cost of living. Salaries between the two positions is very similar. Is my wage too low at 1/5th billing?
How much should I be compensated?
Let me start by giving you some credentials. I have a BArch and 5 years of experience. I've never been exclusively behind a desk. My 2nd day on the job I was on a roof doing a ROCW. Gradually my responsibility has grown to the point where:
I currently have 8 clients I am working with directly in CA phase and 3 in Design phase. 7 of the 8 in CA I worked almost exclusively on the design. I usually take most of my projects from pre-design thru contract close-out, including administering the bidding process and contract signing. The projects I am currently involved with range from $75,000 to $550,000. I have done CA on projects that exceed $2 mil.
I am not licensed. I work in the (mid) southeast. we are what I would consider an extremely small firm.
What am I worth?
You have to do the hard work yourself. How much are you being billed at? Your company is either billing hourly or via a flat fee (more likely). If later, work your hours backwards. Take the multiplier (less for small firms, 3.5 as default) yaddi yadda. Easy.
Here is the punchline: I (or whoever) will gladly do your job for 10%.less. And their replacement will do it for additional 10% off. It's that kind of a shite state of affairs.
The key is to survive. Do whatever it takes to do so.
3Y - it's very relative. how well is your company doing overall? do you know what the fees are on those projects? to some degree, what you're being billed out at is less relative than the actual fees vs. the actual time you're spending on them.
for reference, a 75k project is, maybe, getting a 7k fee. a 550k project could be getting a 50k fee (or less or more, depending). point being, those don't sound like big money makers but they do require real time. if you were being paid 50k, for example, then the total fees on those 2 projects wouldn't cover your actual expenses (your direct salary, taxes, benefits, overhead for the office, other people's time on the projects, etc.).
all that's to say what the numbers tell us: small firms tend to pay less than large corporate firms. no one here's going to be able to give you an exact number though...
Gregory:
Here is my best estimation of the final project budgets of the projects I have been involved in YTD:
$550k, $250k, $320k, $225k, $245k, $200k, $75k, $100k
I am currently working on another project around $150k and another around $350k with a second phase of $250k.
we are currently in June.
I'm going to VERY conservatively estimate a fee schedule of 7%. That's somewhere in the neighborhood of $150k in fees over 7-8 months. And I'm not sure what you mean by "benefits" and "other people's time on the projects".
"VERY conservatively estimate a fee schedule of 7%"
o.O I want to go to there this lala land of megafees.
"$150k in fees over 7-8 months."
you probably deserve a raise to $50K if the work continues at the same pace.
rusty - amen to that. i wish my fee (just my office) was that much for even the institutional projects.
3Y - benefits would include... oh, just look at my last blog post. "other people" would be if anyone other than you is working on the projects (and billing time). they may not be - i don't know.
3Y- Is there a way where you could actually look at the contracts your firm signed with the clients? Maybe you could see the hourly rate at which you are being filed out at. My firm charges out a 2.5 multiple. Once you have this crucial info, you can then plan your next move.
I'm pretty sure that myself and the other intern are billed just over 3x our actual 'wage'.
The majority of our projects are handled from start to finish by one person. This is almost ideal given then budget of the projects we're given. But based on the shear volume of projects we turn over, that turns into a lot of fees.
billed at 3x? Yoar getting paid about the right amount then
the company I work for is worth $39 billion...I'm underpaid
I have a question regarding billing rates... after recently moving to a different market (only a couple of hours away though) and after a few months of work, I discovered I'm billed at 5x my wage! I understand I'm salary, but dividing my salary by 2080 I come in at 5x. At my previous employer I was 3x and in a greater metropolitan area, ie higher cost of living. Salaries between the two positions is very similar. Is my wage too low at 1/5th billing?
Let's bump this up yo.
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