Are you finding it hard to work out how much you should be charging for your services?
One of the most common questions one may have when starting as independent consultant or freelancer is how much should they be charging per hour for their services.
You can’t build a profitable freelance business if you’re always undercharging for your services, similarly overpricing your services may adversely impact your competitive positioning in the market.
There are a number of factors to consider when setting an hourly rate, to start with –
- Determine your monthly expenses, this includes both your personal and business expenses.
- Keep provision for your monthly savings and protection plans – this includes the amount you want to save for retirement, financial goals and insurance plan.
- Add travel expenses both for business and leisure.
- Make provision for your leave – this includes your vacation and provision for any sick leaves.