Service Models
Staff augmentation vs hourly contractors: which hiring model to choose?
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Staff augmentation and hourly contractors serve different needs. Here's how they compare:
Staff Augmentation
•Long-term, dedicated engagement (6-24+ months)
•Fixed monthly rate regardless of hours
•Developer embedded in your team full-time
•Provider handles HR, payroll, equipment, retention
•Replacement guarantee if someone leaves
•Best for: Core product development, ongoing projects
Hourly Contractors
•Short-term, flexible engagement
•Pay only for hours worked
•May work on multiple projects simultaneously
•You manage compliance and payments directly
•No replacement guarantee
•Best for: Specific tasks, overflow work, short sprints
Cost comparison:
| Model | Effective hourly cost | Hidden costs |
|---|---|---|
| Staff aug ($7,500/mo) | ~$43/hr | None |
| Hourly contractor | $50-100/hr | Management overhead, gaps |
When to use each:
•Staff aug: Building features, maintaining codebases, scaling teams
•Hourly: Code reviews, consulting, specific integrations
Providers like BEON.tech focus on staff augmentation for teams needing dedicated, long-term developers.
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