Enter the value of the contract (\$) and the number of hours needed for the contract (hrs) into the Contract Rate Calculator. The calculator will evaluate the Contract Rate.

## Contract Rate Formula

The following two example problems outline the steps and information needed to calculate the Contract Rate.

CONR = VC / T

• Where CONR is the Contract Rate (\$/hr)
• VC is the value of the contract (\$)
• T is the number of hours needed for the contract (hrs)

## How to Calculate Contract Rate?

The following example problems outline how to calculate Contract Rate.

Example Problem #1:

1. First, determine the value of the contract (\$).
• The value of the contract (\$) is given as: 5,000.
2. Next, determine the number of hours needed for the contract (hrs).
• The number of hours needed for the contract (hrs) is provided as: 10.
3. Finally, calculate the Contract Rate using the equation above:

CONR = VC / T

The values provided above are inserted into the equation below and computed.

CONR = 5000 / 10 = 500 (\$/hr)

Example Problem #2:

For this problem, the variables required are provided below:

value of the contract (\$) = 6,000

number of hours needed for the contract (hrs) = 20