As an SLP working through a staffing agency, it’s totally normal to wonder: “If the school district is paying the company $90/hour for my services, why can’t I make $90/hour?”
Great question—and the answer comes down to one simple thing: costs.
When you work as a W-2 employee through a company, you’re not just getting a paycheck. You’re getting a package of support, protection, and benefits that the company pays for—on your behalf—so you can focus on what you do best: serving students.
Let’s break it down.
What the District Pays ≠ What the Company Keeps
When a district pays a company $90/hour, that doesn’t go straight into your paycheck. That rate has to cover a lot of things. Here’s where that money typically goes:
What the Company Pays for You:
- Your actual pay – this is your hourly or salaried wage
- Employer payroll taxes – including Social Security, Medicare, unemployment insurance, etc.
- Liability insurance – protects you and the company in case something goes wrong
- Professional liability (malpractice) insurance – required for licensed professionals like you
- Benefits – health insurance, 401(k), PTO, etc.
- Licensing and credentialing support – renewals, tracking, reminders, etc.
- Clinical support and mentorship – someone to help guide you and have your back
- Administrative support – timesheets, payroll processing, HR help, etc.
- A sales team- they find the contracts that bring work to you, the SLP, so you don’t have to
- Technology platforms – email, therapy tools, Zoom accounts, documentation systems
- Recruiting and onboarding – it takes time and money to match you with the right school
- General business overhead – accounting, legal, compliance, audits, etc.
When you add it all up, a big portion of that $90/hour goes into making sure you’re protected, supported, and compliant.
Here’s an Example:
Let’s say the district pays $90/hour.
A typical breakdown might look something like this:
- $55–60/hour = your pay
- $7–10/hour = payroll taxes and insurance
- $5–8/hour = admin, tech, and clinical support
- $5–10/hour = benefits, recruiting, and general business overhead
After all that, the company might have a small margin left—often less than you’d expect.
Why This Matters
You could try to get $90/hour as an independent contractor, but then:
- You’d pay both the employer and employee side of taxes
- You’d need to buy your own liability insurance
- You’d need to handle your own licensure tracking
- You’d get no benefits
- You’d have no team behind you if a parent or district issue comes up
- You’d have no clinical support or backup if things get tough
- That’s a lot to carry—and it’s not free.
Final Thought
We get it—it’s tempting to want what the district pays. But once you understand everything that goes into making your job possible (and enjoyable), it starts to make sense. You’re not just getting paid—you’re being taken care of.
And when your company does that well, it’s worth every penny.
