| Description | Billing | Invoiced | Flexibility | Benefits | Ideal for | Considerations |
|---|---|---|---|---|---|---|
| Contractor works hourly as needed to deliver project by an agreed upon deadline | Agreed hourly rate multiplied by estimated hours to complete project + 20% | A 20-50% deposit upfront* with the balance paid on delivery | Client agrees the scope and duration upfront and these remain fixed throughout the engagement | Fixed cost regardless of actual hours worked | Projects with a well-defined scope and clear deliverables | 20% is applied to the hourly rate to accommodate the fixed-price arrangement |
* Depending on size and complexity of the project
