Jim True
June 23, 2017
370

# Ethical Pricing: Calculating Your Burn Rate & Finding Your Day Rate

Pricing for any creative work (or any work for that matter) requires you to understand your costs first. So that's where we start: figuring out how much you need to survive (your burn rate) and scaling up from there to determine your ethical pricing day rate.

June 23, 2017

## Transcript

1. Ethical Pricing

2. Jim True
Pods Framework
http://pods.io | @podsframework
http://jimtrue.com | @jimtrue

3. What do you need to work?
ƞ
Ƅ ƃ

4. Calculating Burn Rate
ƞ
Ƅ
ƃ
1,000
200
200
100
1,500
200
100
300
200
200
200
600
\$2,400

5. Burn Rate = Bare Minimum
\$2,400

6. Burn Rate = Bare Minimum
\$2,400 Monthly
\$100 Daily / 24
\$12.50 Hourly / 8

7. Ethical Pricing Rate > Burn Rate
\$3,000 Monthly
\$125 Daily / 24
\$15.63 Hourly / 8
{
+ 25%

8. Ethical Pricing Rate > Burn Rate
\$3,600 Monthly
\$150 Daily / 24
\$18.75 Hourly / 8
{
+ 50%

9. Ethical Pricing Rate > Burn Rate
\$4,800 Monthly
\$200 Daily / 24
\$25.00 Hourly / 8
{
+ 200%

10. How many days do you want to work?
365

11. Calculate Days Like a Business
365 52 x 5 = 260
- 26 (10%) = 234
Ƅ - 26 (10%) = 208
- 26 (10%) = 182

12. Calculate a New Day Rate
182 Working Days
\$4,800 Monthly
\$57,600 Annually
\$57,600 / 182 = \$316.48 Daily Rate

13. You have to determine for yourself:
How many days do you want to work?

14. Questions?

15. Jim True
Pods Framework
http://pods.io | @podsframework
http://jimtrue.com | @jimtrue

16. Tampa Bay WordPress
Meetups Monthly in St Pete @ Iron Yard
1st & 2nd Thursdays every Month
http://tampabaywp.org | @tampabaywp
Slack Chat | Facebook Group | Meetup

17. Thank you!
Iron Yard St. Pete
Working Women of Tampa Bay
July 5th 9AM, Morning Coffee
Iron Yard St. Pete | @theironyard #tampabay