I will answer the question as the manager of an academy and teacher myself. Of course, there might be other points of view, but I will try to be as unbiased as possible.
It depends on the contract.
The rate depends on the type of contract you have been offered (and any bonuses added to said contract). As in any profession, full time contracts have a lower rate than per hour contracts. And self-employed employees (autónomos) pay their own taxes, so their rate has to be higher. We won’t write about the contracts here, as we’ve already done so in our previous posts.
NB: For the following points, please take into account the price per hour of the teacher for the academy (because of taxes) can be obtained by multiplying the rate by 1,35 (approximately). So, for a rate of 15€ per hour, the academy would have to pay 20,25€ approx.
NB2. Are these amounts gross or net? They are gross…and we will explain why in our next article.
- Per hour contracts.
We’ll start with the one most teachers have. We’ve been in the business for more than a decade now, and the lower rate which was offered was 15€ per hour. We still think this is the lowest rate which should have to be offered to starting teachers, with little or no experience.This rate should be, in my opinion, increased by the following factors: experience, if the teacher can teach high levels such as C2, seniority, classes which imply more knowledge like Business English, Proficiency, Legal English or even if you have to travel a lot …
Rates can also be decreased in cases such as in Skype classes, which can be taught from home without having to commute.At our academy most teachers (except those with 20-30 years of experience), start with the same rate. Which is increased once the teacher has worked with us for a while. This is a way to reward teachers who show dedication and prove they love their job. Seniority and loyalty should be taken into account. You can’t see that in a CV and you get all sorts in the interviews.
We also pay more for C1-C2 groups, Legal English …I have heard teachers are working for 11€ or less per hour contract. I don’t think teachers should accept that in a per hour contract… but it’s a personal decision.
- Half Time and Full Time Contracts.
These contracts have the advantages of not having to worry about losing groups, and teachers working under these contracts should have paid holidays. But they come, as in every profession, with a lower rate.
The rate is not set by the academy, these contracts have a set amount per month, and a set amount of hours. The rate varies depending on the category of the post, but it is around 7-9€ per hour.Of course that is much lower than the rate on the section above… but it has it’s advantages. In all jobs, you can get more money per hour…but it’s less secure. The same happens in teaching.
Workers who are autónomos pay their own taxes (they are cheaper for the academy), so they should not have the same rate.
A logical rate to start hiring self-employed TEFL teachers is 20€ per hour. Which is more or less the cost of a 15€ per hour teacher.
All the factors of the previous section can be applied here too.
Are these rules set in stone? No, of course not. Each teacher should negotiate with their future employers and get an explanation for every point.
There are academies offering obnoxious rates, be careful.
And, probably due to those offers, you get teachers demanding – yes, demanding, not asking- for rates of 25-30€ per hour, near their homes and in block hours, on their first contact with an academy. Just consider 25€ implies a cost of around 33,75€ just in taxes. If you have to pay rent, electricity, administration, insurances… what should the client be charged? It makes no sense except for big company groups.
I hope this article helps newcomers to know what to ask for, and why they and academy is offering a specific rate.
Next article: net or gross?[:]