Setting your Freelance Rates

So, are you ready to make some money by freelancing?

Are you ready to be a freelancer?

Namely:

  1. When friends and family start asking for your advice/ service.
  2. A would-be client/PR firm contacts you and asks if you ‘offer this service’.
  3. You get hungry.  Meaning – you need to make an income, this can be incredibly motivating!
  4. And in rarer cases, you’d be ready to go ‘solo’ when you’ve done your market research, created a business plan, and have the capital funds in place, assuming there is a market for your service.
  5. When you have a ‘big’ following on your blog.  At some point, you look at that huge number in your stats program, and wonder, “Could I turn this into a job?”

How to set your rate like a professional.

So, now that you’re going to take off on your own, how much can you make?

Mom Blogger, Jennifer James, shares, “Looking back and being completely candid, when I first started blogging I did a lot that I should have been paid for, but I seriously didn’t know any better. I was just a stay-at-home mom (in my eyes) and was thrilled to get an email from a PR firm that thought I was good enough to contact.”

Jennifer even says that some PR professionals are blaming Mom Bloggers for the ‘rewards and prizes’ compensation model.   Is that what your marketing services are worth – a free stick of deodorant?

Alternately, if you happen to offer a service, like blog designs, you need to read how Chris Pearson sets up his fee structure – and even goes public with it! (Note: this article is from 2006, so the prices have gone up dramatically but the principles for pricing your services remain the same)

Now that you’ve decided you are indeed a professional, you need to set your rates with your services, market, and expertise in mind.

Things you need to include in your calculation:

  • business fees (rent, software, insurance, legal, accounting, marketing)
  • personal responsibilities (What kind of income do you need/ are you used to?)
  • your expertise & rarity in the existing market
  • the demand for your services
  • the value that your services bring to your clients
  • billable hours
  • profit margin

And this calculator from Freelance Switch will help you do just that!