Freelance rate
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- gramme
So a potential long-term client asked me what my rates are for freelance today. They wanted me to come work in-house, though I'd probably use my own computer.
I told them $45 per hour, which is my standard rate. I've been working in design + art direction for 3 years, guess I'd consider myself mid-level.
i think they freaked out, said I cost too much. Are they right?
- MrDinky0
try a weekly rate or daily rate with some discount
- spiralstarez0
I don't think that's too much at all, I'm looking at leaping into freelance and was thinking 50.
Kind of depends on the situation. The more steady and reliable the cash, the lower you can afford. Otherwise if you are working for a lot of small clients the unbillable admin and bookkeeping time eats too much into your rates.
- gramme0
thanks MrDinky, I'm not too stoked about working with these people but need the $$. Might take you up on that suggestion.
- derek20050
i would show them on the invoice that you cost 50 an hour, or whatever you decide.. then apply the discount to the total, (which would then equal the budget you decided on)
:)
- derek20050
if they said they only could afford $2000, but all the work would really equal $4000 @ $50/h) then put the sub total at $4000 and then a discount of 50% for a TOTAL of $2000.
this shows them that you are used to making 50/h and normally charge this rate. next time you do work for them, maybe bump that discount to 24% off, and then to 0% off.. etc..
:)
- gramme0
this shows them that you are used to making 50/h and normally charge this rate. next time you do work for them, maybe bump that discount to 24% off, and then to 0% off.. etc..
not a bad idea. i just sent them an email saying I'd be willing to work for a lower daily rate if I could get at least a couple weeks worth of steady work from them. We'll see what happens...
- designerror0
They charge the client xx/h and pay you xx/h to do it, they always want a good profit as the "middle man" so they will say everything to get you to lower your rate.. don't go lower, they are just ripping you off..
Say 45, if they say 35, say 50.. etc. don't sell out.. your rate will follow you around... trust me
- derek20050
"your rate will follow you around... trust me"
designerror is BANG on.
if you keep your rate at 50/h, but offer a discount as a one time thing, you can still charge other clients more.
i once sold a bunch of wakeboard dvds i produced to a skateshop. i was selling them for 12.50 per copy. the store bought 100 copies. the owner wanted to pay me in product as well, so i gave him a 25% discount, and got some jeans, a new deck and some skate shoes. all and all it was a fair trade, but my DVDs were still @ 12.50 per copy according to the purchace order and invoice.
- gramme0
Say 45, if they say 35, say 50.. etc. don't sell out.. your rate will follow you around... trust me
designerror
(Jan 18 06, 17:24)Good point. And I'm not even frothing to work for these cats, I just need the income.
I gave someone else that price last week and he was stoked, it was less than his last designer...
Seems all relative.
- gramme0
Thanks guys! MY faith in NT has been restored, at least for the time being ;)
- nooner0
what do they bill hourly for design.
if they bill 100$ an hour then they are going to be thinking more like 33 and hour.
most companies have to bill 300% of what they pay the employee.
30 to you
30 to the company
30 to the owner.
- derek20050
"I'd be willing to work for a lower daily rate if I could get at least a couple weeks worth of steady work from them."
thats cool, but make it work out to a percentage situation. not a lower dollar amount. they might refer you to another company.
the new company might be asking why you are charging them 50/h, but charged 40/h to the other company.
stating on the invoice that you charge 50/h is a non-negotioable rate. the DISCOUNT is what allows you to be flexible.
you could say, "i used to give out discounts in the past for other services and product, but i no longer do this"
otherwise, you will be refferd from company a -> company b -> company c -> etc. and your rate will always be low!
don't settle for a lower rate just cause you need the money. it will come back to haunt you.
- designerror0
Just stick with what you think you are worth. Don't let people push you around.
If one get you for cheap, the word will spread and you will be known as the good but cheap designer. Then it will be even harder to get a decent buck out of them.
- designerror0
damn.. i actually have the same opinion as derek on something.. hahahahah... thats a rare one
- gramme0
I just sent them an amendment to my last email, stating that my official rate stays the same but that I'm giving them an introductory discount that will last however long they need me for *this quarter*, or until I move to NY, LA, etc...
I think that should cover it.
- derek20050
most companies have to bill 300% of what they pay the employee.
30 to you
30 to the company
30 to the owner.
nooner
(Jan 18 06, 17:30)so true.
i had a friend who left the company he was working for, cause he was sick of the company and owner making so much. (the owner was driving a SICK benz)
he left, esablished a company, charged 75% of what the company he worked for charged out, and immediately doubled his salary. :)
he would make 50 an hour at his old job... with his rate being billed out at $150!
most of the clients he was working for in the company were begging him to go freelance or form his own company, so they could give him all the money, and pay less.
he left the company, with a few trusting clients in hand, who fed him for a good while. they referred him to other companies, and before he knew it... he was making WAY more than working for the man, plus had the freedom to reject jobs, take vacation etc...
- derek20050
lol @ designerror
"the good but cheap designer"
haha. bang on.
- derek20050
"introductory discount that will last however long they need me for *this quarter*, or until I move to NY, LA, etc..."
sick! :)
- tkmeister0
the problem is that there's always young punks who's willing to prove and take job at less rate.
it really comes down to how fast you work and how well you produce. if you are good, you are good, so charge high rate. i found it's difficult to charge long term clients my short term rate.
so if the project goes on for a year, i'd figure out how much i want to make, then do the math from there.
- stevegee0
as usual, I like Dink's suggestion. However, don't get in the habit of sicounting, two really bad things happen there:
1. the client always expects your discounted rate and most of us don't like saying otherwise.
2. they will refer you out and say you did a great job, adn tell people about your 'discount' rates.
Neither are good.