AI recruiting agency · Updated

Flat fee vs commission: what recruiting agency fees actually cost for an engineering hire

Short answer

A commission agency charges 15-25% of the hire's first-year salary, paid on success: $22,500-37,500 on a $150,000 engineer. A flat fee agency charges a set price per role whatever the salary. Ranked.I's flat fee is $4,500 per new role ($6,000 for ML/LLM roles), about 3-4% of a $150,000 salary. The two are not like for like: a flat fee buys a ranked shortlist, while interviews, the offer and closing stay with your team.

How each fee works

Commission (contingency) fees

The recruiter is paid a percentage of first-year salary when a candidate you hire starts. US tech recruiters typically charge 15-25% (Dover). Agencies in the CIS IT market quote 15-20%, up to 30% for rare roles (Lucky Hunter). You pay mainly on success, and the fee grows with the salary.

Flat fee

A set price per role, agreed before the search starts. Ranked.I charges $4,500 for backend, DevOps and data science roles, $6,000 for ML/LLM roles and ML team leads, and $1,500-2,000 to re-open a role it has already scoped. A $7,000-9,000 tier adds GitHub code scans, task recordings and written scoring rubrics, and a $3,000 monthly retainer covers continuous hiring with up to 2 repeat roles a month.

Side-by-side comparison

Fee models compared on a senior engineering hire
Commission agencyFlat fee (Ranked.I)
What you pay forA completed hireA ranked shortlist of 40 named candidates
Fee on a $150,000 engineer$22,500-37,500 (15-25%)$4,500 ($6,000 for ML/LLM)
Fee on a $200,000 engineer$30,000-50,000 (15-25%)$4,500 ($6,000 for ML/LLM)
Does the fee grow with salaryYesNo
Repeat roleFull fee again$1,500-2,000, in 24-48 hours
Who runs interviews and closingThe recruiter helpsYour team

A worked example

Take a $150,000 backend engineer. At 15-25%, a commission agency invoices $22,500-37,500. Ranked.I's flat fee is $4,500, which is 12-20% of that bill. For an ML/LLM role at $6,000 it is 16-27%. The gap widens with seniority: at $200,000 the commission is $30,000-50,000 and the flat fee does not move.

The comparison is not a straight saving. The commission covers screening and closing; the flat fee covers sourcing and first-pass screening only. If you would rather hand off the whole process and pay only when someone starts, commission can fit. If your engineers run interviews anyway, or you hire repeatedly, the flat fee usually costs less.

When a flat fee makes sense

It fits when you hire senior engineers, where percentage fees are largest, when you re-open similar roles, and when you want to see how good the candidates are before committing to a full search. The $499 Calibration Audit does that: one stalled vacancy, a custom grading matrix and a test batch, credited in full toward the search. See how the service works, how it compares with AI sourcing tools and how we measure shortlist accuracy.

Sources

  1. Dover, tech recruiter fees cost guide
  2. Lucky Hunter, IT recruiting fees in the CIS market (in Russian)

Ranked.I prices as published on rankedi.com, September 2026.

FAQ

What is a flat fee recruiting agency?

A flat fee recruiting agency charges a set price per role instead of a percentage of the hire's salary. Ranked.I charges $4,500 per new role, $6,000 for ML/LLM roles.

How much do recruiting agencies charge?

US tech recruiters typically charge 15-25% of first-year salary on contingency, which is $22,500-37,500 on a $150,000 engineer. Ranked.I's flat fee is $4,500-6,000 per new role.

Is a flat fee cheaper than a commission?

On senior engineering hires usually yes: $4,500-6,000 against $22,500-37,500 on a $150,000 salary. But a flat fee covers the shortlist, not interviews or closing, so the two are not like for like.

Does a flat fee agency close the hire?

No. Ranked.I replaces sourcing and first-pass screening. Interviews, offers and closing stay with your team or your recruiter.

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