As a freelance writer, you make your own prices. That’s pretty obvious. It comes with the freedom of making your own schedule.
While we love the freedom, we could do without setting our own prices.
Figuring out the right freelance writing price is a challenge.
Too high and we price ourselves out of jobs we want. Too low and we end up struggling at the end of every month.
So, what is the right amount?
Well, the average freelance writer makes roughly $23 an hour, according to ZipRecruiter. That isn’t bad. But, most of us freelancers don’t make that much.
We do work less than the typical 40 hours a week, but we aren’t charging properly. As a result, our income suffers. We don’t make as much as we should. And we end up idolizing the few of us who do. I read plenty of those “how I make three-digits a year with my blog” articles.
Those articles were motivating. There’s no doubt about that. Hell, if they could do it, why couldn’t I? Yet, things weren’t that simple.
A note: this article does not pertain only to freelance writers. It pertains to anyone selling a product or service. As always, take the information necessary for you. Leave the rest.
What is Your Monthly Budget?
This implies that setting freelance writing prices is subjective. And it is. Not everyone has the same monthly needs. One person might only need an extra $1,000 a month. Another, $3,000 a month. It depends on your life.
Regardless, this is where you start.
Consider the amount you need for your life. This includes regular monthly bills, along with savings goals and business expenses.
It also fluctuates depending on your employment. If you plan on freelance writing part-time, your monthly financial needs are less. As you reduce your hours at work, your financial needs increase. And so do your freelance writing prices.
What is Your Experience?
Freelance writing price, or any professional price, is dependent on your experience. For brand new freelance writers, your rates will not be as high.
That does not mean you have to accept next to nothing for your work. It means that you don’t have the experience backing up a rate that goes beyond the monthly minimum you need. When you are new, you’ll likely have a rate closer to the base amount you need.
As your experience grows, increase your rates. Clients will become more familiar with your name over time. And good marketing efforts establish a positive reputation for you.
With more experience, there is more to back-up higher rates. Not only do you have more writing samples. You have bigger-name clients, an established position, and years of knowledge. You’ll move beyond the bare monthly minimum.
What is Your Availability?
Not everyone has the ability to write the same amount. And that’s fine. But be honest about your limitations.
If you have a full-time job, consider that when determining your availability. If you have volunteer activities, consider those. Or if you are a stay-at-home parent, think about that. All of our lives render us capable of writing a different amount each day.
On top of that, think about your writing and researching speed. You may be capable of completing research in one hour. Others may need three hours for that same research.
You can find averages for how long writing takes. But, these aren’t specific to you. Instead, track your writing for two weeks. Take the information you gather, and make your own averages.
These averages are different for each person. They are also different for each type of content you write. Make note of all this. Factor your personalized information in as you consider prices and pricing structures.
If you write faster than others, for instance, hourly pay rates aren’t ideal for you. But, writing quickly offers the client more value, so have your prices reflect that. The opposite is true if writing takes you a while.
What Pricing Structure Are You Using?
There are several pricing structures you can employ as a freelance writer.
As you progress, you’ll find that certain pricing structures no longer make sense. You will move onto different options. Or develop a blend of several pricing structures (this is how I currently have my pricing).
There is no requirement that you must keep the same structure you start with. Don’t worry about what structures other people use. What works for them, won’t necessarily work for you. Find what works for you.
Per Hour
We’ll start with per hour pricing. I think this is the simplest type. Determine your hourly rate, and that’s it.
Each new project pays you according to your hourly rate.
How do you figure out your hourly rate?
Well, that’s simple, too. Take the amount of money you need each month. Let’s say it’s $2,000. Divide that amount by the number of hours you plan on working each month. For instance, you expect to work 20 hours a week. That’s 80 hours a month. $2,000 divided by 80 is $25.
Where I live, $25 an hour will get you a place with a roommate. But in many other places, it’s a good income for living on your own.
This gives you a rough base. Incorporate your experience into a final rate.
For hourly pay to work best, you need a way of tracking your computer activity when “on the clock.” This isn’t ideal for many freelance writers. We like working for ourselves because of the freedom it brings.
But, it’s an option. I’ve done hourly work before, myself. It made sense, given the project, and wasn’t as intrusive as I worried it would be.
The alternative is guessing how many hours each project will take. If you stick to similar types of content, and similar lengths, this isn’t much of an issue. It doesn’t allow for flexibility, though. Plus, if you are less familiar with freelance work, there is a large margin of error.
Per Word
Certain clients, such as those seeking SEO work or blog posts, prefer paying per word. When the project has a word count, charging per word makes sense, too.
You can apply per-word rates to projects of varying sizes, as well. If you’re tasked with a 500-word project, you have a rate for it. Or for a 20,000-word project. Per-word rates are consistent. The final amount is the only thing that changes because of the varying word lengths.
I like charging per word because it keeps things consistent and helps me come up with a base pay for every project. But, it isn’t the best option for every job.
Charging per word makes the price more palatable to clients. It’s great for projects that require minimal research. However, it doesn’t account for revisions.
Per Page
With this type of pricing, you obviously charge for the number of pages. This works well for longer projects, like novels or essays, along with website content.
With per page pricing, you have an idea of how much each page costs. This varies slightly by the amount of research you need. Aside from that variation, apply the cost to the number of pages the client wants.
If they want four pages of content, multiply your per page cost by four. If the desired amount is 200 pages of content, multiply your per page by 200.
It works the same as per word pricing structures.
Per Project
Many freelance writers employ this pricing structure. It’s a flat rate structure that varies depending on the different aspects of the project. This includes the amount of research needed, the word count, and how long it will take you to complete.
Per project pricing does require some experience. This makes it unrealistic for many beginning freelancers. The reason for this is because of the factors affecting per project prices. You must know how long writing takes you. And you’ll need an understanding of how long research takes you.
On a positive note, using this pricing structure as a beginner is not impossible. It is more complicated, though.
What About Retainer Fees?
Retainer fees are primarily used for long-term clients. Particularly when that client needs the same work completed over a period of weeks or months.
With a retaining fee, you apply it to the recurring deliverables clients need. If they need three articles a week, for instance, you present them with a retaining fee for three articles. Once you finish your first project, clients already know how much you charge for the next three.
This allows for proper budgeting on the client’s part. And it helps you build a relationship with clients.
Increasing established retaining fees is challenging. So, make sure you set a retainer fee that makes sense for you. The standard retainer fee is the number of deliverables per month, multiplied by your per page or per project price. That is then multiplied by your hourly wage.
Since retainer fees are unique to each project, this formula is a foundation.
A Final Note About Freelance Writing Prices
Figuring out pricing as a freelance writer isn’t a terrifying task. At least, not as terrifying as we make it out to be.
A simple guide is looking at your clients. Let’s say you have about five new people reach out to you for freelance writing work a month. You discuss the project with these prospects, and you give them your price. All of them accept and begin a working relationship with you.
This sounds fantastic. You are getting plenty of work. However, it can be a sign that your prices are too low.
And the opposite is true. If all five of your prospects forgo entering into business with you, it’s likely that your prices are too high.
You want a middle ground. One where not every prospect likes your prices. But, your prices are your prices, and those prices aren’t alienating potential clients, either. This is the sweet spot.
Constantly evaluate your prices and adjust as necessary. You will find your sweet spot.