Figuring out a quote is a task fraught with problems right from the beginning. If you charge a high bid, no client will approach you, and if you charge a low price, clients will suspect your skills. It’s very common to reckon with the bafflement if you’re a beginner freelancer. Here are the ways to deal with this problem.
Whether to charge an hourly rate or fixed rate
To choose the one is a big dilemma as both come with benefits and downsides. A fixed price can be a better option when you can charge on the basis of the complexity of a project and the amount of work required in it. However, it’s not feasible to estimate prices if your work has to be tested over and over and modifications are recommended, for example, website designing. In that case, an hourly rate is a better option. So determine the complexity and type of your service and accordingly charge prices.
Consider your budget
Create a budget of your expenses to estimate quote for your services. For instance, if your monthly expenditure is $1000, try to grab three times more money than this. That means your monthly income should be $3000 as you will earn profits too. To estimate per-hour price, divide this amount by total weekly working hours. Assuming you work 30 hours in a week (5 hours for six days), your per-hour rate will be $100 (3000/30). By this way, you will not have to work for all 30 hours to bear your expenses. This will also give you the freedom to have wiggle room if your client wants to negotiate.
Know what others are charging
The best way to estimate prices for your services is going to other websites and look at the rates of other freelancers. Try to see the prices of freelancers that belong to your industry category. You’ll find low as well as high prices. Check their profiles and look at skills and experience. You’ll get a clear idea about a way that freelancers follow for pricing.
Use online tools
You can also use online tools to get your estimate on the basis of your location. You can figure out competitive prices to offer to your clients. Bonsai and Glassdoor are popular platforms.
Summing up
The fact is there is no perfect way to estimate a price for your services as it boils down to your skills, experience, and quality of your work. You’ll not find stagnancy in prices of freelancers as they keep learning and growing.