Somewhat of a monumental question I constantly find myself asking is … is my pricing structure right? am I underestimating my worth? should I charge per hour or per project? and what is the rest of the industry doing?

This question is probably one of the most commonly asked questions by freelance graphic designers. The idea of charging per hour or charging per project? To be or not to be? What is the right answer? If you do a simple google search on freelance design pricing the results are astounding – many different schools of thoughts on it all, pros and cons for each charging method. And as things go work for small business often turn into work for larger clients.

Major things to factor into your pricing decision are:
• Time – afterall time is money – how long will it take you to complete the task?
• Experience - how much do you have and what do you have to offer? what is your skill level?
• The type of project – conceptual vs productive, will the project last a week, a month or longer? will there be repeat services needed?
• Expenses & Profit – How much does it cost to run my business? and let’s face it we all want to make some profit!
• The client – What is your current relationship with them? What is their budget? Size of their business? Are they repeat clients or new?
• The market and industry standards – What is market demand? What are the industry standards at the current time?
• Extra costs - Are there any extra costs?

There really is no right or wrong answer here as there are so many different factors involved. Whether you choose to charge per hour or per project, the bottom line still remains – never underestimate your work/worth, don’t undercharge, consider all the factors involved and in time it will become easier to establish which method works for each client or project and which method works for you as the freelance designer

Some great resources on the internet I have come across, that have helped me:

• Freelance Switch
great resource and links on advice for freelancers on determining your price, hourly vs fixed pricing and a neat tool “the freelance switch rates calculator” which helps you figure out an hourly rate based on your business and personal costs.

• 7 tips on quoting freelance projects

• David Airey on Design pricing and when to talk money

• Just Creative Design has compiled a great variety of resources and with more information on how to charge for design work.

• David Airey – How 20 designers charge their clients (in 3 parts) & the design pricing formula
• Freelance tips: 15 articles about freelance pricing

• Factors to consider when pricing design services

• To charge by the hour or not to charge by the hour: the battle enes..
fixed vs hourly – the rate face off
Matt Griffin on why you shouldn’t charge by the hour.
Intervals viewpoint on 7 Reasons You Should Charge by the Hour .

• A great book to start with (tried and tested by moi) • The Business Side of Creativity, by Cameron Foote

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