Rate card and blended rate

A rate card lists the vendor’s hourly or daily price per role and seniority; a blended rate is one average price for the whole team mix.

A rate card makes quotes comparable: senior developer, mid, QA, project manager, architect. A blended rate is simpler to budget, but it hides the mix: the same rate pays well for a team of seniors and badly for one where juniors do most hours. Quotes also differ in what they bill separately, such as project management, QA, travel and the time spent in your meetings.

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Related terms

Staff augmentation (team extension, body leasing): Renting developers from a vendor to work inside your team under your direction, instead of buying a project with an agreed result.
Time and materials (T&M): Paying for the hours actually worked; scope can change, cost and timeline move with it.
Fixed price: A contract where scope and price are agreed up front and the vendor carries the risk.
Retainer: A fixed monthly fee for a vendor’s availability or a pool of hours, typical for maintenance, support and ongoing advice.

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