Rate structures.
WHAT MODELS EXIST
Hourly Daily Fixed price per project Retainer for ongoing availability Per deliverable or unit Value-based
WHAT HOURLY SUITS
Open-ended work Work where scope cannot be defined Support and maintenance
WHAT IT RISKS
Being rewarded for slowness and penalised for efficiency.
WHY THAT MATTERS AS YOU IMPROVE
Getting faster reduces your income on hourly work.
WHAT FIXED PRICE SUITS
Defined deliverables Work you have done before and can estimate
WHAT IT REQUIRES
Precise scope, and a variation process.
WHY
Scope creep on a fixed price is absorbed entirely by you.
WHAT TO ESTABLISH IN A FIXED QUOTE
Exactly what is included How many revisions What is excluded What additional work costs
WHY REVISIONS SPECIFICALLY
Unlimited revisions are the commonest way fixed-price work becomes unprofitable.
WHAT RETAINERS PROVIDE
Predictable income, which is what freelancing lacks most.
WHAT THEY REQUIRE
Defined inclusions and limits.
WHAT TO ESTABLISH
What the retainer covers, and what happens beyond it.
WHAT TO AVOID
Retainers that amount to unlimited availability.
WHAT VALUE-BASED PRICING REQUIRES
Understanding what the outcome is worth to the client.
WHY IT PAYS BEST
It separates your income from your hours entirely.
WHAT TO ESTABLISH
Which model suits each engagement.
WHY PER ENGAGEMENT
Different work suits different structures.
