Staffing agencies charge either a percentage of the hired employee's annual salary or an hourly markup on temporary workers. Permanent placement fees typically range from 15% to 25% of the first-year salary, while temporary staffing markups add 25% to 50% to the worker's hourly wage. For a $50,000 salary position, the agency fee would be $7,500 to $12,500.
| Item | Typical range |
|---|---|
| Permanent Placement Fee (% of Salary) | 15% - 25% |
| Temporary Staffing Markup | 25% - 50% |
| Temp-to-Hire Conversion Fee | 10% - 15% |
| Typical Fee for $50k Position | $7,500 - $12,500 |
Permanent Placement Fees
Most agencies charge 15% to 25% of the candidate's first-year base salary, with higher percentages for hard-to-fill roles. For a $75,000 engineering position, the fee would be $11,250 to $18,750. Some agencies offer a guarantee period of 30 to 90 days, replacing the candidate at no extra cost if they leave.
Temporary Staffing Markups
Temp agencies add a markup of 25% to 50% on top of the worker's pay to cover payroll taxes, insurance, and profit. If a temp earns $20 per hour, the client pays $25 to $30 per hour. Markups are lower for long-term contracts and higher for specialized skills like IT or nursing.
Temp-to-Hire Conversion Fees
When a temp employee is hired permanently, the agency charges a conversion fee, often 10% to 15% of the annual salary. For a $40,000 position, that's $4,000 to $6,000. Some agencies waive the conversion fee if the temp has worked a certain number of hours, typically 480 to 1,040.
What moves the price in Racine, Wisconsin
Skill level and contract length affect the bill rate. Local quotes reflect the items below, so two providers can quote different totals for the same described job without either being wrong.
- Local labour rates and licensing requirements for the trade or professional involved
- Permits, inspections and disposal fees set by the local authority
- Travel and call-out charges for the distance from the nearest provider
- Season and demand peaks, which move both the price and the wait
- Materials, parts or inputs, and how their grade or availability changes the total
- Whether the work is a repair, a partial job or a full replacement
How to compare staffing agencies quotes in Racine, Wisconsin
Write the scope down first, then send the same description to at least three local providers. Compare the quotes line by line against that scope rather than by the headline total.
- Agree the scope: exactly what is being repaired, replaced or supplied, and how far the work extends.
- List the inclusions: labour, materials, permits, inspection fees, disposal and clean-up, each stated separately.
- Ask what is excluded, and what would trigger an extra charge once the work starts.
- Check timing: how soon work can start, how long it takes, and whether out-of-hours rates apply.
- Confirm terms: deposit, payment schedule, warranty on parts and labour, and how changes are priced.
A lower total that leaves out permits, disposal or a necessary second stage is not cheaper once those items are added back. Ask each provider in writing what would change the price.
This page does not quote work and is not a contractor. The range above is an estimate, not an offer.
Common questions
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