I was surprised to see a client company paying for consultant travel and cell phones. See reply quoted by client below! Am I cheap, out of touch, or is this normal ?
"Well, first of all, you aren’t going to find any Consultant willing to travel for nothing.
Most Consultants that travel are given a 50% of hourly rate for travel time in excess of 4 hrs / day.
Cell phones – 50% of monthly bill has been the standard for Consultants since Day 1."
Actually this is mostly normal. It's all negotiable, and accurate. I even have negotiated full travel, lodging and per diem rates..
It's a cost/benefit calculation. If you are hiring a big gun that will have a positive impact on your cash flow in the future (like Wayne), you will pay the additional expenses.
Look at the overall expense in your calculations. If I charge you $150/hour for ten hours plus $1,000 expenses, my rate is $250/hour. In the end, how much do you value what I can bring you.? Don't get caught up in the details.
The above is standard in the defense sector as well. Plus travel in accordance with the JFTR. However, I wasn't aware of the cell phone reimbursement.
I have been compensated at the client organization's travel rate which of course guides my travel decisions. I have not asked for cell reimbursement since I have an unlimited plan.
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I've received reimbursement for International calls (at 99 cents min, that bill ratchets up quickly).
If travel is required for the assignment (to another city or country), typically a reduced per hourly rate is charged for the travel time. Travel to and from the main work site isn't typically charged - only overnight or long distance (over xx hours) travel to customers or other work sites. I haven't seen the cell phone reimbursement, however, typically all out of pocket costs are reimbursed, so actual cell phone costs specific to your job are probably billable to you. It is all in the contract and all negotiable upfront.
Same as the previous colleagues however on the phone only charge for International wireless usage and reduced hourly rate during travel from point A to point B when international travel is required. All other expenses are paid for by the client.
