How To Determine Your Freelance Rates

Recently, a fellow freelance writer was offered an opportunity for another freelance job. She came to me asking how she should determine her freelance rates. We discussed what a daunting process this can be. You don’t want to oversell yourself, but you also want to get paid what you deserve.

When I first started freelance writing, I had no idea what to expect as far as payment. But now, with a few years under my belt and several jobs on my resume, I have a better idea of how to determine my freelance rates. And I’m here to help you do the same!

Whether you are freelance writing, designing, photographing, or the like, these questions will help you. I am a freelance writer, so some of these questions pertain to the freelance writer more than others. Here are the questions you need to ask yourself to determine your freelance rates.

1. Where do you live?

Your location can make a difference on how much you can charge. Big cities like Chicago, Dallas, San Francisco, and the like will expect your rates to be higher. Take advantage of that. But little towns or small cities might not be able to pay you what those in Chicago can. Keep that in mind when determining your own rates. My rates were different in Indiana than when I lived in Georgia.

2. What company or business are you working for?

This goes along with the first question. Let’s say you are working for a small local newspaper — they probably aren’t going to be able to pay you a ton of money. However, a large college may have a much bigger budget for hiring freelancers and may be able to pay you a better rate. You can always set your rates, and if a company can’t pay you your normal rates, you can negotiate with them to determine a payment you are both happy with.

3. Do you have a degree?

If you don’t have a degree in your field of work, you will probably want to start your rates low and work your way up with time. If you have a journalism degree and are a freelance writer, you’re more likely to be hired and more likely to be taken seriously — thus you can charge more.

4. How much experience do you have?

If you just graduated college, you’ll want to set your rates lower than someone who has been freelancing for several years. It’s just like when working full-time for a company, you get promotions or raises the longer you’ve worked there. If you have been working as a freelancer for a few years, be sure to check back into your rates and raise them if you feel you have more experience and better skills than when you first started.

5. Do you want to charge per word, per hour, or per project?

Obviously, this question is for the writers. But you can modify it to work with whatever field you are freelancing in. This may change with each job you get. Some companies will only pay per word, others like to pay a flat rate for each project. Other times, you can decide how you will be paid. You should have a preference. If you are a really fast writer, you may want to choose per word rather than per hour. However, sometimes interviews and research can take a lot longer than writing itself and perhaps you’d like to get paid per hour. It also depends on how well you can track your time. I’ve been paid per word and per project before. Very seldom do I choose per hour, but that’s just my preference.

After you’ve asked yourself these five questions, you can better determine your freelance rates. Be sure not to undersell yourself — freelance writing or other work might not be a full-time job, but you are a professional and deserve to be paid as one. At the same time, if you overcharge for your work, you won’t be hired as often and may miss out on some great job opportunities. It all boils down to negotiation. Now, go get em’ tiger!

Be sure to check out this post too– Things You Need to be a Freelance Writer.