Search thousands of topics on CostHelper.com

BROWSE ALL TOPICS >> appliances babies & children  cars  consumer electronics health & personal care home & garden personal finance  pets  schools small business weddings
CostHelper > Personal Finance  > Employment > Temporary Agency

Temporary Agency Cost


How Much Does a Temporary Agency Cost?

 
 average costTypical Fee: 12%-50% of Employee's Hourly Rate 
post E-mail post Post  

Job seekers often apply for employment through a temporary agency, or temp agency. A temp agency is a type of employment agency that helps match qualified job candidates with short-term jobs through various employers.

Typical costs:

  • The typical fee for employers using a temp agency is 12-50% of the employee's hourly rate. For example, if an employee earns $10 per hour from the temp agency, and the agency's markup is 50%, the employer will pay an extra $5 per hour to the temp agency for a total of $15 per hour.
  • Some large organizations have in-house temporary agencies which apply similar fees for their services. For example, the University of Washington[1] charges a 29% markup, with department's paying $18.06 per hour for a temporary employee who actually earns $14 per hour.
  • According to Certified Staffing Solutions, a national firm, a temporary agency's markup percentage varies based on the skill level required in the position and the job location.
  • When a business chooses to hire a temp agency as a permanent employee, the business must pay the temp agency a permanent staffing fee ranging from 10-25% of the employee's first-year salary. For example, New Mexico's Santa Fe Staffing[2] charges employers 11-15% of an employee's annual salary as a one-time permanent staffing fee. Included with this fee, they guarantee that the client will be a good fit for the position for a full year.
Related articles: Resume Software, Resume Services, Employment Agency

What should be included:
  • A temporary agency collects resumes, screens job applicants and assesses their skills on behalf of potential employers. When an employer has an empty job, the temp agency will narrow down many resumes to the best-suited applicants and choose the best candidates, saving the employer the time and hassle association with hiring procedures.
  • The temporary agency should perform background and reference checks for all employees they intend to place with a company.
  • The temp agency also handles the temp employee's payroll, unemployment and worker's compensation insurance, and any other benefits they choose to offer.
  • Health and dental insurance may or may not be included for employees working with a temp agency. One temporary employee[3] reports rates of $38 per month offered directly through his temporary agency.
  • For job seekers, temporary agencies offer straight temporary positions (no chance of staying on full time), temp to hire positions (considered a temporary position for a certain timeline, with potential for full-time employment), and direct hire positions (no temporary period).
Shopping for a temporary agency:
  • Bankrate lists examples of various staffing agencies[4] along with their areas of expertise, such as construction, travel nursing and law.
  • Search the American Staffing Association[5] for temporary agencies by state or zip code.
  • Career Choice Guide[6] lists many of the benefits for job seekers considering a temp agency, such as finding a job quickly, the option to stay on in a permanent position, and access to job leads that are not advertised elsewhere.
  • The Better Business Bureau offers tips on hiring staff[7] through temp agencies.
  • All types of employment agencies are regulated by state governments[8] , which set limits on the placement fees that can be charged. Some states require that placement fees be clearly displayed on signs in the agency's lobby, for instance, to help protect job seekers by holding agencies accountable.
post E-mail post Post  
CostHelper News


10 Key Ways to Prepare for Extreme Snow
Forecasters are predicting a true nor'easter will hit the eastern and central states with rain, thunderstorms, ice, snow and high winds over the Thanksgiving weekend. It's crucial to plan ahead, before bad weather hits. || Posted November 26 2013


10 Most Popular Cosmetic Procedures Before the Holidays
With reunions and other get-togethers scheduled during the holiday season, most people want to look their best at this time of year. For some, that means filling in those wrinkles with a bit of botox, or having a nip and tuck down here and there. || Posted November 23 2013

‣ All CostHelper Blog Posts


What People Are Paying - Recent Comments


 

Comment On Your Experience With a Temporary Agency
 
Subject:  *
Amount Spent:  *
Agency: Percentage: 
Comments: 
Purchased:  Year: 
City:  * State:  *
 
Information about you:
Email:  * Email addresses are not displayed.
Name:  This is the name we'll display with your post.
me on this computer
*=required field.
 



External Resources:
  1.  www.washington.edu/admin/hr/roles/mgr/hire/utemp.html
  2.  www.santafestaffing.com/pages/pricing
  3.  answers.yahoo.com/question/index?qid=20070522104536AA1NKMx
  4.  www.bankrate.com/finance/personal-finance/8-ways-to-find-and-keep-a-temporary-job-3.aspx
  5.  www.americanstaffing.net/jobseekers/find_company.cfm
  6.  www.careerchoiceguide.com/temp-employment-agency.html
  7.  www.bbb.org/us/article/bbbtips-on-hiring-staff-621
  8.  www.bbb.org/us/article/employment-services-279
More Personal Finance Topics
Check Out All Costs for Personal Finance How Much Does Closing a Home Cost? How Much Does a Traffic Ticket Attorney Cost? How Much Do Funeral Flowers Cost?

Search Thousands of Topics on CostHelper.com

 
Today's Featured Cost Articles

About CostHelper
CostHelper is based in Silicon Valley and provides consumers with unbiased price information about thousands of goods and services. Our writers are experienced journalists who adhere to our strict editorial ethics policy.

CostHelper Community
Lizard
Paid: 150.00
The beardie was adopted for $20.00 at a local repticon. Tank was over 30 inch long, cost less than $70-80 at Petsmart during Xmas sale. Everything else were bought online from Dr. Foster, Amazon and Chewy... [more]
-Gaga
Pet Lizard Cost
My Entertainment Company Went Above & Beyond The Call Of Duty
Paid: 2100.00
All I can say is WOW. When I hired Evan Nine Entertainment, I had no idea I was going to get so much extra for my money. His company handled The DJ/MC, Photography, Uplighting, and Wedding Officiant... [more]
-Linda Grayson
Wedding DJ Cost
TTE 93306
Paid: 1208.00
Went for echo at cardiologist's office. Hadn't met deductible and my BCBS estimate online was $408 done in doctor's office. Well, the cardiology office had been acquired by Mission Hospital so they charged their rate which was ~$1980... [more]
-C. V. Wynne, M.D.
Echocardiogram Cost
Broken drain line replacment
Paid: 7600.00
After Roto-Rooter inspected the drain line which could not get passed 35 feet from the cleanout, serviceman suggested for a new cleanout to be installed near the area where the camera could not pass, this at a cost of $1,450... [more]
-#IFEELTAKEN
Sewer Line Replacement Cost
Cost should be capped
Paid: 4550.00
In August of 2014, my husband need to be transported to the helicopter pad at the hospital and we received a bill for $4,550 and when we questioned why so much no one could provide a valid answer. The helicopter pad is less than ... [more]
-dkoz
Ambulance Cost
Cost of topo survey
Paid: 3800.00
Surveyor staked four corners and surveyed entire 4.95 acre lot at 2 ft contours in Issaquah, WA... [more]
-User in WA
Property Survey Cost