Especially if you are starting your career in the world of freelance work, you are likely to find yourself confused about the rates and the method to choose the cost you charge to your clients for each project.
You have already completed the paperwork to sign up as a freelancer, you have your work space prepared and your team set up, you have an attractive portfolio and there are many clients interested in hiring your services.
However, it is possible that a doubt floats over your head: how much do I charge you for the project and based on what? Will all the assignments take me the same time and will they require the same competences and skills? Is it better to make a closed or flexible budget? Is it more appropriate to charge per word or per hour?
Setting a price too low is a common mistake of novice freelancers, as well as accepting too many projects at once, as it will cause the final result to lose quality, fail deadlines and deadlines, and lose online reputation among your portfolio. customers.
To cast a cable, here we review some of the methods and guidelines you can follow to build your rates as a freelance, without forgetting that as your professional performance improves and your personal brand becomes stronger and famous on the network, your price will be more high
Traditional methods: charge per hour / word
Personal experience and intuition is the best you have at your disposal: if you worked for a company that set prices by word or came from a marketing or web development agency that charged customers by the hour, guide yourself through those references.
There are online tools such as Freelance Calculator that help you measure these aspects before issuing the invoices to the clients. “In this infographic we show you the basic steps to calculate your time as a freelancer.
Ask around and set a price after the investigation
Especially if you do not have any previous experience, it is essential that you ask the freelance community how much they charge and how they established their rates over time.
You can also take a look at the main platforms of independent work, from Freelancer to Twago, Upwork or Infojobs Freelance and see the budgets that are handled between company and professionals according to the type of order, the required technical profile or the subject and the research that require the same. You can also research in local companies. Do not be afraid to ask questions!
Use the Freelance Rate formula
If you’re still not sure how to set your rates, or at least where to start, the Freelance Rate Formula -explained in depth here- a really useful and resourceful tool. This is aimed at establishing a basic hourly rate, which you can indicate directly to customers or use as a reference to calculate your project, package or day rates.
The formula is as follows: (Annual salary + Annual expenses + Annual benefit) ÷ Annual billable work hours = Basic hourly rate.
Flexibility and constant adjustment
Another option is to pivot constantly until you find the formula that satisfies you and that allows you to get economic performance from your professional performance.
You may prefer to set entirely individual budgets according to the project, preferring to charge half in advance or do it in installments, including items or free services from a considerable volume or have different rates depending on the service: for example, advice, SEO and online copywriting
When it comes to freelance rates, Cherise Henry of Comstock’s Mag is clear:
“If you’re not a little nervous about sending an estimate to a potential client, the budget is too low.”