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Subject:Re: question about contracting w/o agencies From:dmbrown -at- brown-inc -dot- com To:"TECHWR-L" <techwr-l -at- lists -dot- raycomm -dot- com> Date:Fri, 31 May 2002 09:51:57 -0700
Steve Arrants wrote:
>
> ...since you are already working and have health insurance through your
> employer, you can continue the coverage through COBRA.
Maybe they've changed the rules, but I don't think COBRA is available to people who quit or are fired "with cause"--only for those who are laid off or "RIF-ed."
>
> The rate you will
> pay is the same rate the company pays per employee plus a percentage (8%?)
> for "administrative costs).
There are several levels or types of COBRA coverage. Some don't include an admin fee at all, but I know of one where the admin fee is an additional $300/month--jacking up the monthly premium from about $800 to about $1100!
Once you've determined whether you'll even be eligible after a voluntary resignation, you'll have to find out exactly what coverage your current employer offers.
>
> If it looks to you like the company is being honest (this is a real "try
> before you buy" and not a "let's get someone cheap for a short term
> project"), you might want to negotiate some compensation or consideration
> about the benefits.
Not to dispute Mr. Arrants' advice, but the simplest answer is simply to agree on a rate high enough to cover your insurance costs. Don't just divide your annual salary by 2000 to get an hourly rate, or you'll be losing money.
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