When you’re contemplating leaving a job and freelancing part-time or full-time, a regular income is an important goal. Generally, you start with what hourly rate to charge… based on what dollars you are putting into the business, your skill level, and what your normal salary would be in corporate land.
As part promotions for How to Start a Freelance Business (in Australia), Jennifer has designed a freelancer income calculation tool to work out what to charge as an hourly rate or daily rate. You’ll probably need Excel or something akin to it to open it.
You don’t need to share this hourly rate with clients; but you can still use it for fixed fee proposals that require a (time and expenses) x hourly rate analysis. You should also find out what your industry association recommends freelancers or consultants charge as well (except for the MEAA, who are right off the mark when it comes to rates: $259 per hour for freelance book editing – unlikely!) Also steer clear of the AWAI copywriting rate sheet, as that is really off track for most of us mere mortals.
It also has a section for different income and a simple ‘add’ tool. The author reminds you that any money you put into the business, and overheads, must also be returned eventually. This is termed contingency costs…
Access the Freelancing Hourly Rate Calculator below – an Excel template. Our Vision6 list is no longer, so no need to sign up!