A Fair Telecommuting Budget?

homework asks: "Last night, I got a call from my boss asking me to define a budget for me to work from home. What items should I include in the figures so that I can show that the use of my home and my personal equipment can be compensated for fairly. Should I include my salary into the figures? Has any other Slashdot reader been in a similar situations and what was the outcome? Were you treated fairly?"