How do you work out what to charge?

At a recent Work Smart Not Hard meeting a new member who had just left his corporate employment of many years to start freelancing was explaining how he used spreadsheets to work out how much time he spent on each job and what this meant about how he quoted a price for his clients.

We delved a bit deeper into what else needed to be included in the price. These include all the overheads for your business – rent for your office (even if it’s a room in your home), power and other utilities, costs for equipment, services, insurance, holiday and sick pay and pension contributions.

If these costs aren’t covered by your pricing, they come out of your profit and that might explain why it’s so difficult to get off the treadmill.

Pricing isn’t a science but it has to cover the basic costs before you can start getting creative and showing your value.

If you need any help figuring this out, please get in touch!