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

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.

7aeb9b63432353cb667c415b602b3817?s=128

Jim True

June 23, 2017
Tweet

Transcript

  1. 2.
  2. 4.

    Calculating Burn Rate ƞ Ƅ ƃ 1,000 200 200 100

    1,500 200 100 300 200 200 200 600 $2,400
  3. 11.

    Calculate Days Like a Business 365 52 x 5 =

    260 - 26 (10%) = 234 Ƅ - 26 (10%) = 208 - 26 (10%) = 182
  4. 12.

    Calculate a New Day Rate 182 Working Days $4,800 Monthly

    $57,600 Annually $57,600 / 182 = $316.48 Daily Rate
  5. 13.

    You have to determine for yourself:
 What’s your Burn Rate?

    What’s your ethical markup? How many days do you want to work?
  6. 15.
  7. 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
  8. 17.

    Thank you! Iron Yard St. Pete Working Women of Tampa

    Bay
 July 5th 9AM, Morning Coffee Iron Yard St. Pete | @theironyard #tampabay