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Work related arrangement
I’m working on becoming certified as a Dyslexia Educator (tutor). The lady I do work for (as an indie contractor)wants to pay for half of training. These specific tutors make $80-125 per hour (more). What cut should she be allowed to take if she brings me a student after she’s paid for my training?
I’ve worked with her for close to 3 years doing regular tutoring. She pays me $28 an hour (but charges parents more like $65 per hour). She keeps the lions share because it’s her company (obvs). She is generally cool but I’m excited yet concerned because of the power dynamic/investment she wants to make in me. I want to do what is right and fair - thank you in advance for your time and thoughtful answer.
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Until you have paid her back the half she paid for you to get training, you will always be beholden to her for that cost. I don't know what that total amount is but you are not going to be able to get what you want as long as she holds something over you. If you expect her to hire you as an employee, then she gets to call the shots, not you. Her bringing you a customer in her own company is not like you being in business on your own and advertising and getting your own new client.
Unless things are spelled out as to for how long she gets to take the cut she wants to recoup the money she put out on paying for your training, then she could take whatever cut you both agree on forever and in the end, if its years on end, she could possibly recoup for than what she put out. I don't know those costs and figures but that is where you should start. When people take out a school loan, they are expected to pay it back after they finish schooling. I would assume she isnt assisting you for free out of the goodness of her heart, not even to be able to hire you. People who pay for training, as in school loans don't end up using you as an employee.
I would look at this like mortgage agreements when an owner wants to sell but hasn't yet, finds a buyer who doesn't have the money for a down payment to get started and they make the deal between them to have the couple make monthly rent payments that all go towards the down payment so that when they have paid enough in, the papers are signed, they get a loan from a bank and the house is theirs. In your case, I don't know if you wish to be your own employee, not someone elses employee. If you want the independance, you may not wish to be her employee forever because she holds on to you by playing the guilt card that you owe her because she paid for your training.
YOu say you've had this arrangement 3 years and you've earned 28 per hour. So figure out what your gross income per month was, and multiply by 36 months or the exact months you have worked for her and see what amount you come up with. If it is an amount close to that which she paid for your training, I would think it fair rhat you can ask whatever you want for your share if you don't owe for training and you are doing all the work with a client. Just bringing clients to someone usually doesn't call for the lions share but as you ssaid, its her company so she gets to call the shots. Once your training is complete, try asking for an even split and if she doesn't go with it, your choices are to continue working for her at a rate she dictates and just suck it up or break away from her if you no longer owe her anything and work independant ly on your own. I would think the profession is in high demand and very specialized as I've not heard of it before but I do beleive it is very much needed. So think about it and if you want to be your own consultant later, do so.
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