Search thousands of topics on CostHelper.com

BROWSE ALL TOPICS >> babies & children  cars  consumer electronics health & personal care home & garden personal finance  pets  schools small business sports 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 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 Post  
CostHelper News


Forgotten Expenses In a Home Addition Budget
Items like construction costs, permit fees or debris removal aren't the only expenses to consider when calculating the total costs of a home remodeling project. || Posted August 5 2013


And the Best Bacon Is...
This little piggy went to market.After that, Consumer Reports bought samples and tasted to determine which little piggy offered the best bacon.Top honors go to Costco, it turns out. || Posted October 5 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
Replace leaking supply line40' w/copper from meter to house
Paid: 2150.00
Water supply line leaking, need dig trench, 40' Type L copper pipe. 1st plumber quote $6500. Did some research, 2nd quote is $2150. Depth by city code 16 - 18", both licensed, guarantee 1 year... [more]
-Meeept2000
Replacing Copper Pipes Cost
About to start babysitting
Paid: 6.00
I’m about to start babysitting for their first time ever (for pay) and I was wondering if my pay was too high or too low. Tha family has two boys, a ten year old and an eight year old... [more]
-
Baby Sitter Cost
cost of ear drops
Paid: 67.00
I was prescribed antibiotic drops for an ear infection. Went to pick up at Walgreen's and declined due to price of $219. I asked the medical facility to send prescription to Costco. Picked it up there for $67... [more]
-jeffo
Ear Infection Cost
Be aware
Paid: 0.00
Be aware that many of the listed locksmiths are a call service and many of them are in another state. Some even try to pass as other businesses. Academy lock is a thief and abuses they employed too. There are many... [more]
-Martin Y.
Locksmith Cost
Deep cleaning
Paid: 9999.00
As a dental hygienist with 22 years experience, I can tell you “DEEP CLEANING” is not a SCAM! 1st and foremost remember your insurance coverage is to assist with treatment payments... [more]
-Tasha Nicole
Teeth Cleaning Cost
04 Nissan Sentra
Paid: 120.00
I had one key for the car I just bought a few months back, well... While I was closing the front door to my house my key was caught and severely bent, I tried to gently tap it back straight but needless to say it snapped in half... [more]
-Mz Sentra
Key Copy Cost