Hiring Time & Materials
Contractors
What is a Time & Materials contract?
A Time and Materials contract is a flexible working arrangement.
Employers hire and pay out based on hours worked and material used. A Time & Materials contract allows employers to avoid having to hire a contractor based on a fixed length or fixed price.
This type of contract is beneficial to employers hiring for projects where scope is unclear and undefined. A Time & Materials contract gives you a framework to work within ensuring you can hire as and when you need resource whilst limiting runaway costs with agreed pay rates.
- Average time to fill
- 3 days
- Positions filled
- 8,309
- Contracts extended
- 97%
When is it best to use a Time & Materials contract?
The best use of a Time & Materials contract is dependent on your current situation.
Although, there are some particular use cases where you as an employer would choose to hire on a Time & Materials contract. For example, if a project is forecasted to go beyond expected project timelines and material costs have increased a Time and Materials contract could be the more beneficial option. By fixing agreed rates for a fair price, a Time and Materials contract can mitigate any unexpected project costs.
Of course, there are a multitude of scenarios where a Time & Materials contract would be your best option to use when hiring contractors.
The Advantages
Follow best practices for clear documentation, regular communication, comprehensive reporting, and efficient change management.
Flexibility to adapt to evolving project scopes.
Transparent cost breakdowns for trust and accountability.
Collaboration with service providers for informed decision-making.
Address cost uncertainty with upfront estimates and regular reporting.
