# What is spread?

Source: https://launch-rec.com/glossary/spread. Category: Commercials. Market: US and UK.

## Definition

The cash difference between bill rate and burdened pay rate, quoted in currency per hour rather than as a percentage.

## In practice

Experienced contract desks manage in spread because it survives rate changes. A $11.25 spread on 40 hours is $450 a week per contractor, whatever the headline percentage says.

Spread per head times headcount times utilisation is the fastest sanity check on whether a desk can carry a consultant's salary.

## Related terms

- https://launch-rec.com/glossary/gross-margin
- https://launch-rec.com/glossary/bill-rate