How much to charge for your work
The most common mistake when starting is charging too little. It seems to get you more clients, but you end up working a lot to earn little.
Work out your minimum rate
You want to earn €1,200 a month before tax
Business costs: self-employed fee, software, phone → €200
Hours you can really charge per month: 80
(1,200 + 200) ÷ 80 = €17.50 an hour minimum
Business costs: self-employed fee, software, phone → €200
Hours you can really charge per month: 80
(1,200 + 200) ÷ 80 = €17.50 an hour minimum
Why only 80 hours if you work more? Because finding clients, answering messages, doing quotes and invoices is work too, and nobody pays you for it.
Better per job than per hour
It’s easier for a client to understand “the website: €450” than “25 hours at €18”. Work out the hours for yourself and give a fixed price. As you get faster, you earn more per hour.
Tips
- Look at what others charge in your area, but don’t compete to be the cheapest.
- Have 2–3 packages: basic, normal and complete.
- If they ask for a discount, take things out of the job instead of lowering the price.
- Ask for part up front (for example, half) on big jobs.
Work out yours in the rate calculator. And go over How much to charge in Selling and negotiating.