Time & Materials (T&M)
Time and Materials (T&M) is pay by the hours including materials or pay as you go. There is no limit to Time and Materials.
No additional risk and no additional reward if you over perform.
FSO owns risk If they don’t hit the hours, however if it is routine and they can over perform, they will own the reward as well. NTE is the worst as FSO owns risk and has no reward.