Most freelancers work 36 hours per week and charge $21 per hour according to a survey by Payoneer. Experience level is the most important factor in determining the best hourly rate to charge. New freelancers usually charge a lower amount, while experienced experts charge two to three times the average rate for their industry.
Knowing how much to charge for your work is a complicated area. We want to help freelancers, so we're going to give you some general tips here about settling on the best amount to charge clients for your services.
Let's think about this in a couple of ways:
First, take a look at your monthly expenses and determine what you want/need to earn. That should be the minimum amount that you charge. Also, consider the fact that you won't get paid for everything you must do as a freelancer, such as preparing your taxes, looking for more customers, and weekly admin work. This means that your hourly or project rate needs to be a little higher to make up for the unpaid work that is part of every freelancer's life.
Next, take a look at how much others charge for similar services at your level of expertise. One of the best ways to do this is to join a Facebook group and ask. Once you know what they charge, you can go under that if you're new to the market or over it if you're an expert.
Another massive item you should plan for is taxes. You'll be paying your own taxes as a freelancer, so your rates should incorporate the taxes you'll eventually have to pay. The average tax amount paid by Americans, for all taxes, is about 29%. This means you'll end up paying $3 in taxes out of every $10 you earn. Price your work to pay your taxes and be left with the income you want.
Your best rates will be different, because everyone's market is different. What works on the East Coast might not be successful in Nevada. Try a few different price points until you find the rate clients accept and you can live on.