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Thread: Charging....

  1. #1
    SitePoint Enthusiast drnibbles's Avatar
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    Charging....

    With a formal training behind you and several years of experience what do you guys charge per hour for a website development including art and sample site for the customer. I have seen so many different charges that it's increible...

    DrNibbles

  2. #2
    insert witty comment here
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    And thats pretty much the way it is

    There's a lot of factors to take into consideration when setting YOUR prices.

    1. Level of expertese.
    2. Provided features.
    3. Cleint needs.
    4. How large is the job.
    5. Charging per project or per hour (different projects might require you to do either).
    6. And many other things

    On some jobs I may charge 25% of the total expected cost up front, on others I may submit some free examples/layouts knowing that the time involved in making them might be for nothing.
    Trying to 'read' the client is as much a part of it as any other - how much would this job be worth to them?
    How can I stay competitive and still make profit? Will this client be the source of much repeat business? And if so how much can I cut rates for the initial project?

    Fun stuff

    Myros
    http://www.neuralstudios.com

  3. #3
    SitePoint Wizard Ian Glass's Avatar
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    If you live in America, you can't discuss this--it's called price fixing and it's illegal. I don't know about other countries.

    Just look at what your competitors are charging (a competitive analysis). If you think that's fair, go with a similar price. You could also take a look at salary surveys at sites like www.Salary.com and www.Dice.com and extrapolate what the hourly rate is...
    Last edited by Ian Glass; Nov 11, 2001 at 20:37.

  4. #4
    SitePoint Enthusiast drnibbles's Avatar
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    So you mean that it's not leagal to talk about prices on the web or at all in the US? Wow well i guess that i allready have found out what i needed.

    Drnibbles

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    SitePoint Wizard Ian Glass's Avatar
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    The laws were enacted in the US to prevent companies from banding together and cheating the customer.

    You can list prices on your site or something, but you can discuss how much to charge for what with your competitors.

    The United States has no jurisdiction over practices in other countries. But, since I think SitePoint’s servers are in America, they’d probably appreciate it if we don’t test the laws, right?

    ~~Hope This Helps

  6. #6
    SitePoint Enthusiast drnibbles's Avatar
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    yes of course...Is there anyway that i can remove the post...

  7. #7
    SitePoint Wizard Ian Glass's Avatar
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    I didn't mean to scare you. I don't think that you've done anything that will get SPF in trouble yet. I was just trying to give all of you a heads up.

    As for removing the thread, I think you'll have to talk to an mentor or administrator, for that.

  8. #8
    SitePoint Enthusiast drnibbles's Avatar
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    OK thanks. It's good that you inform about that as i travel back and forth between Europe and Australia and have not really all the leagals in my head...

    Drnibbles

  9. #9
    SitePoint Wizard Ian Glass's Avatar
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    No worries, Drnibbles. Good luck...

  10. #10
    Your Lord and Master, Foamy gold trophy Hierophant's Avatar
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    Actually we can talk about the different ways people arrive at the prices they charge. We can't discuss a series of prices and implement them.

    A good rule of thumb to figuring out how much you need to charge is this:

    Salary + Overhead / Hours.

    For this equation, your salary would be how much you want to make per year.

    Your overhead is the costs directly associated with running your business i.e. Offices, Phones, Websites, Advertising, Licenses and supplies.

    Hours is the number of hours you want to work per year. On average full-time in the United States is considered 2000 hours (50 weeks at 40 hours per week).

    Using this formula you will have to figure out what you would need to charge to acheive your goals. Since everyone has different goals and different levels of experience you will see the wide range of prices available today.

    Of course there are other variables such as inflation, supply and demand and local market fluctuations. In order to take advantage of these, call your local Chamber of Commerce and ask for advice. In the United States, this advice is provided by SCORE which is made up of retired business owners.
    Wayne Luke
    ------------


  11. #11
    Prolific Blogger silver trophy Technosailor's Avatar
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    Ian, good call. But it's not price-fixing unless you're talking about specifics in pricing. Formulas and methodology for determining prices is not illegal, nor is it illegal to discuss how payment routines are processed.

    For instance, I have an Excel chart with all my rates built in and a blank Quantity field. I type in the quantity of different things and it does the math to determine the total for each item (HTML, 10 lines javascript/dhtml, custom created CUI, etc.) At the bottom of that column I get the total. I require 50% deposit on all contracts with the final 50% due just prior to the final upload.

    The nature of this discussion is not illegal unless we start talking specifics fo how much for what. Just to clear some things up.

    Sketch
    Aaron Brazell
    Technosailor



  12. #12
    SitePoint Wizard Ian Glass's Avatar
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    ^ They said it better than I did.

  13. #13
    What? Maelstrom's Avatar
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    Originally posted by Ian Glass
    The laws were enacted in the US to prevent companies from banding together and cheating the customer.

    You can list prices on your site or something, but you can discuss how much to charge for what with your competitors.

    The United States has no jurisdiction over practices in other countries. But, since I think SitePoint’s servers are in America, they’d probably appreciate it if we don’t test the laws, right?

    ~~Hope This Helps
    The biggest culprit being the gas stations (I still think they do but that is an opinion)
    Maelstrom Personal - Apparition Visions
    Development - PhP || Mysql || Zend || Devshed
    Unix - FreeBSD || FreeBsdForums || Man Pages
    They made me a sitepoint Mentor - Feel free to PM me or Email me and I will see if I can help.

  14. #14
    How Much Money?
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    you may have a bit of luck over at eLance.com people bid the amounts that
    thay will do the work for you.

    Give it a try it is free and if the bids dont interest you, there is
    no obligation to have the work done through them

    Matthew Taylor
    AutomatedLinks.com
    Boost your search engine ranking, by increasing your link Popularity,
    Dynamically.

  15. #15
    Prolific Blogger silver trophy Technosailor's Avatar
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    Actually, I think the SPF servewrs are in Australia....if you want to be technical! But if I as an Ameircan in the US discuss my rates, then it wouldn't matter if the servers were in Lima, Peru. I would be in trouble. If the SP serves were in the US and I participated in illegal discussion, SP would not be held liable as there are special rules regarding newsgroups/forums on the internet.

    Sketch
    Aaron Brazell
    Technosailor



  16. #16
    Your Lord and Master, Foamy gold trophy Hierophant's Avatar
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    Originally posted by Sketch
    Actually, I think the SPF servewrs are in Australia....if you want to be technical! But if I as an Ameircan in the US discuss my rates, then it wouldn't matter if the servers were in Lima, Peru. I would be in trouble. If the SP serves were in the US and I participated in illegal discussion, SP would not be held liable as there are special rules regarding newsgroups/forums on the internet.

    Sketch
    They are in Texas...
    Wayne Luke
    ------------


  17. #17
    SitePoint Wizard Ian Glass's Avatar
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    Originally posted by W. Luke
    They are in Texas...
    Ha Ha Ha, Sketch. Na Na 'Na Na Na...

  18. #18
    Prolific Blogger silver trophy Technosailor's Avatar
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    Texas, Australia, right Wayne? j/k

    I can be wrong occasionally.... Shut up, IAN!

    Sketch
    Aaron Brazell
    Technosailor



  19. #19
    The Legend Indian's Avatar
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    And... Where are you Sketch?



    Indian

  20. #20
    Prolific Blogger silver trophy Technosailor's Avatar
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    In an undisclosed secure location...
    Sketch
    Aaron Brazell
    Technosailor



  21. #21
    SitePoint Wizard Ian Glass's Avatar
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    Originally posted by Sketch
    In an undisclosed secure location...
    Sketch
    Is your offline name, by any chance, Dick Cheney?

  22. #22
    Prolific Blogger silver trophy Technosailor's Avatar
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    ummm...errmm...uhhh.. no, I mean, um, yes, I uhhhm, mean...no

    It's Sketch
    Aaron Brazell
    Technosailor



  23. #23
    SitePoint Wizard silver trophy Jeremy W.'s Avatar
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    I charge 12 peanuts/keystroke.
    SVP Marketing, SoCast SRM
    Personal blog: Strategerize
    Twitter: @jeremywright

  24. #24
    SitePoint Wizard silver trophy
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    Actually, the formula the Graphic Artists Guild uses is:

    Expenses (Rent, utilities, insurance, supplies, advertising, upgrades, etc.)

    --------PLUS----------

    Add a reasonable salary

    --------PLUS----------

    Add a reasonable profit margin (10% - 15% is fair)

    TOTAL = ___________

    DIVIDE BY HOURS: ____________
    (The number of hours varies from 900 to 1,680 if you are self-employed to allow time for proposals, billing, calling clients, paperwork, etc.)

  25. #25
    SitePoint Enthusiast allusion's Avatar
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    I'm a member of the local musicians union and every year they put out a wage scale dictating the minimum you can charge per hour for any job. Do you think any law enforcement really cares whether we mention our prices on here?

    On a slightly related note, is there a web designer/developer union? A union in any high-tech field?


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