Setting your rates
As we mentioned at the beginning of this article, it’s important to outline what you need to earn each month to cover your expenses. Once you’ve done this and paid the tax man, the rest is your disposable income.
We advise that you seek advice on what the market is paying for your level of experience and set your rates accordingly. Our Salary Benchmarking Tool and/or our 2021 Salary Survey can guide you on the current rates for your specialism.
Often clients will be prepared to pay more for a short-term contract and will negotiate for a longer-term booking, so ensure you are prepared to be flexible on your rates dependent on the contract duration.
Freelance work can often be sporadic in the early stages. There will be peaks and troughs, so bear this in mind when you’re planning your finances accordingly. As mentioned, marketing yourself is vital to long term success – the more you’re visible the better.
You will also need to be mindful that clients won’t always pay on time and so it’s advised that you have a healthy buffer in your account to allow for this eventuality. Most standard payment terms are 28 days (although at Major Players, we pay our freelancers on weekly basis – time sheet permitting), however, be prepared some clients can take longer.
The best freelancer are those who have strong interpersonal skills, who can quickly adapt to new environments and who can deliver with minimal input from the clients. Ultimately clients want an easy life, and they want to know that when they have a specific requirement, they have you to rely on.
The key to this is strong communication. Outlining expectations from the off is so important, as is pushing back if the briefs are defined clearly enough. By understanding what the client wants, will ensure the project is delivered correctly and on time.
Also, do not be afraid to challenge ideas when you think there is a better solution. Of course, diplomacy is key, but they’re paying for your expertise and therefore will appreciate any constructive input you have.
As this guide explains, there are many variables to consider when thinking of going freelance. As a result, there will inevitably be challenging times, but there will equally be hugely rewarding times too.
It’s important to never lose sight of why you decided to go freelance in the first place – whether to be your own boss, to gain greater flexibility or to seek a better work/life balance; just make sure you enjoy the ride.
If you need any support or advice in making the transition to freelance, please do get in touch we me and the team: firstname.lastname@example.org.