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A Freelancer’s Guide to Setting Your Damn Price Already

What I’m listening to: Closer by The Chainsmokers

I was reading through some LinkedIn posts the other day when it dawned on me yet again:

Freelance writers have no idea how to set rates.

No, they really don’t know how to set rates.

In a few cases, the questions revolved around “How much should I charge for….?”

Why that question sucks: the answer is one that any writer can figure out with a calculator and two minutes of their life.

Ah, but we don’t do math, do we? I know the feeling — I hate math. But when it comes to what I’m paid for a particular job, I’m not hating it then.

It’s why people get sucked into the low-paying job vortex. It’s why they peer out occasionally and moan about why we don’t understand their “reality” when we say aim higher.

Here’s your reality:

You alone are selling yourself short.

So let’s stop that mad little cycle right now, shall we? Here’s what to do to get your price set:

  1. Decide how much you want to make this year — Emphasis on the word “want” not “need”
  2. Do the math to come up with your hourly rate
  3. Go get a drink and maybe a snack, for you, my friend, are done

That’s it. Too many steps for you? Then do this:

  1. Get out of bed and decide how much you want to make an hour.

In a discussion on a forum a while back, another writer challenged me on my rate, saying the “market” won’t bear it. He compared what we do to an iPhone. “It costs X and that’s all it will ever cost” was his argument.

What he didn’t realize: Apple set the price of the iPhone. Consumers didn’t. Boom — argument lost, dude.

Why do people pay $1000 to 1200 for an iPhone? Because Apple is damn good at convincing them they need that phone. Why do they buy one every damn year? Same reason — Apple convinces them they need it.

Apply that logic to your freelance writing career.

Just set your damn price already.

Writers, what did it take for you to get to your current rate?
What advice would you give other writers for getting over the angst of losing the low-paying clients once rates go up?

6 responses to “A Freelancer’s Guide to Setting Your Damn Price Already”

  1. Paula Hendrickson Avatar
    Paula Hendrickson

    Since the bulk of my work at the moment consists of article writing, the publications set their pay scales, but I won’t work for places that underpay writers, and I’m not shy about telling them why I won’t accept their low rates.

    For other things, I have an hourly rate in mind when setting project fees. Some things are so small—edit three executive bios for consistency, for example—that I’ve adopted Jenn Mattern’s idea of having a “get out of bed rate.” It’s ideal for those little things you might not really want to do, but could knock out quickly -if you’re so motivated. Charge enough and that motivation kicks right in.

    1. lwidmer Avatar
      lwidmer

      Magazines are tougher, I agree. But their rates determine whether they’re your client, as you indicated, Paula.

      I’ve always liked the ‘get out of bed’ fee idea. I know my minimum, and it’s helped me avoid some nasty situations.

  2. Devon Ellington Avatar
    Devon Ellington

    You know when I started getting my rate? When I stuck by “no” for lower rates. When I give a quote and the person comes back with a much lower one, I say “no.” If I need to make up a loss of income, I do it by taking a job that’s in a different field. NOT BY LOWERING MY RATE.

    It was a hash lesson to learn, but vital where I live now, where locals want to pay content mill rates. So they don’t get ME. I have a handful of local clients who pay the agreed-upon rate, and the rest are remote.

    It’s a much better business model.

    1. Devon Ellington Avatar
      Devon Ellington

      That should read “harsh” lesson, but I guess “hash” works, too.

    2. lwidmer Avatar
      lwidmer

      LOL Yes, both fit. 🙂

      No is tough to say at first, but my lord, it becomes so much easier with practice. 😉

  3. Anne Wayman Avatar
    Anne Wayman

    Love this Lori! Basically it took a decision. Of course, it took awhile to make the decision for the higher rate. The first time someone challenged me to double my rates I couldn’t do it. I did manage upping them 25 percent. Which helped.

    Love your analogy with Apple!

    Yes, we set our own rates. You’re so right… as you often are.

    Love you,

    A