Which one price is it fair to take as a freelancer?
First of all, you need to be able to pay your rent and your bills - and of course want to have a little extra left over. If necessary, calculate your assignment salary here.
In this connection, remember that you yourself have to cover holiday pay, pension, administration and healthcare costs – and your customer therefore does not have to.
On the other hand, your customers must be able to afford to pay you – and they must be able to see the price of your service as an investment more than an expense.
This is the sweet spot you should try to hit when you quote prices for your services.
It differs from customer to customer, which strategy works best.
Here are some general guidelines you can follow:
- Never sell yourself too cheap – unless you're brand new and struggling to get that first customer.
The psychological signal when something is very cheap is that it is not worth very much. And if you're not worth much, why invest in you at all?
- Also, don't go down the drain and price yourself unrealistically high.
You are very likely not the only one with your service that your customer has spoken to - and they know very well what price range they can expect. If the market rate is 700, don't charge 1500 an hour unless you have results to back it up.
- Be willing to negotiate the price.
But be aware that the clients who end up with the cheapest hourly rate are often the most troublesome. In addition, you must avoid the discount temptation and only bring it to the table as a last resort.
- Know the market price and follow it.
Once you've been at it for a while, you'll quickly be able to see which freelancers you're on par with and what they charge for their services. Do the same as them - and then make sure you deliver a service beyond the ordinary. This results in happy customers who stay in the shop.
In the end, both the price and the scope of the project must be connected for you. If it's an extraordinarily exciting client, either because of the project or what it will give you in terms of references, it makes sense to go after the assignment with everything you've got. Price and task are your direct motivation to cross the finish line with a happy customer in hand, and if one or the other factor doesn't get you up in the morning, be ready to let the task go to someone else.
Not sure what your price should be? You can download our template for calculating your hourly rate right here.