Project rates are often the ideal model for freelancers—it removes the stress of having to associate and justify every single hour to a task. Once you’re confident with your ability to estimate a project, move to project rates as quickly as possible.
To estimate the size of a project, break it down into tasks and add up the number of hours they usually take.
To estimate the size of a project, start by breaking it down into smaller tasks, then add up the number of hours those tasks usually take. Multiply this by your hourly rate and add in a markup you’re comfortable with. Do not show this breakdown to your clients, only use it for yourself to feel more confident about estimating your time.
Only show clients a summary of your pricing, otherwise, they’ll get stuck in the details. An hourly rate of $100/hr sounds like a lot more than $6,000 for two weeks of work.
What’s great about project rates is that with experience, you’ll become more efficient at producing better work. This means you can charge the same or more for a project without investing more hours. You’re not paid to do work, you’re paid to bring value to a business.
HOT TIP
Don’t show clients your cost breakdowns, they’ll get stuck in the details.
