If you’ve ever stared blankly at a new client inquiry, wondering what to charge, you’re not alone. Pricing your freelance services is one of the trickiest parts of going solo. Charge too little, and you will feel resentful and overworked. Charge too much and you worry about scaring clients away.

So, how do you decide what your time, skills, and effort are truly worth?

Here, I’ll walk you through everything you need to know, from hourly vs. project-based pricing to market research to building a rate that reflects your value and brings in steady work.

Also read: How to network better as a world-class remote freelancer

1. Start with your needs, not the market

Before you consider what others are charging, start with what you need to earn. This will give you a clear baseline from which to work.

Here’s how to do it:

• Add up your monthly expenses — rent, internet, health insurance, software, taxes.
• Factor in how many billable hours you can realistically work per month.
• Add a buffer for savings and the occasional dry spell.

Let’s say you need $1,500/month and can realistically bill 60 hours. That puts your baseline hourly rate at $25.

This number is your survival rate. Now let’s move to your thriving rate.

2. Research the market

Look at what other freelancers in your niche and region are charging. Use platforms like Upwork, Fiverr, Freelancer and Glassdoor.

Check portfolio websites and job boards too. Are they charging hourly or per project? Do they list their rates? What level of experience do they have?

Once you gather data, use it to position yourself, not just to copy-paste someone else’s rate. You can charge more than a generalist if you have a specialised skill or niche (e.g., UX writing for fintech).

3. Pick a pricing model that works for you

There are three common ways freelancers charge:

• Hourly: This is great for ongoing work or tasks with uncertain scope.
• Per Project: This is ideal for defined deliverables (like a website or brand design).
• Retainers: This is for recurring monthly payments in exchange for a set number of hours or services.

If you’re confident in your process and speed, project-based pricing can increase your earnings without chaining you to the clock.

4. Factor in non-billable time

You might work 40 hours a week, but not all are billable. Think:

• Admin and invoicing
• Marketing yourself
• Pitching for new work
• Following up on late payments

Your rates must account for the unpaid time that keeps your business running. This is why experienced freelancers charge more. They’re not just paid for the hours they’re typing.

5. Build in taxes, tools, and time off

Freelancers don’t get employer-covered benefits, so your rate should make space for:

• Self-employment taxes
• Business tools (Zoom, Adobe, Figma, etc.)
• Sick days and holidays
• Retirement or long-term savings

This is especially important for freelancers working globally. If you earn in USD, for example, you’ll want to monitor local currency fluctuations and potential conversion fees.

Platforms like Grey make this easier, letting you receive international payments in USD, EUR, or GBP and convert them with low fees, so your hard-earned money stays with you.

Also read: Top platforms to receive freelance payments worldwide

6. Know when to raise your rates

If you’ve been charging the same rate for 2 years, it’s probably time for a raise. Some signs include:

• You’re consistently booked out.
• Clients rarely push back on price.
• You’ve added new skills or certifications.
• You’re working faster but charging the same.

Your rates should evolve with your experience. Don’t be afraid to update your pricing and communicate the value you bring.

7. Be confident in the price you quote

Pricing is both math and mindset. How you talk about your rate matters as much as the number.

Avoid saying things like:

• “I normally charge $X, but I’m flexible.”
• “I’m just starting out, so I can do it cheaper.”
• “Let me know what your budget is.”

Instead, try:

• “For this scope, my rate is $X.”
• “I charge per project to ensure you get full focus without the clock ticking.”
• “I offer discounts for long-term retainers, and I’m happy to discuss if that’s a fit.”

You don’t have to sound like a robot, but you do have to sound sure.

Also read: How to find high-paying clients as a freelancer in Africa

So, how much should you charge?

There’s no one-size-fits-all number. But there is a sweet spot between what you need, what the market pays, and what reflects your skills.

Be honest. Be strategic. And above all, don’t undercharge yourself out of fear.

Also read: How to budget as a freelancer and manage irregular income

Get paid smarter with Grey

Whether you charge in euros, dollars, or pounds, Grey helps you receive international freelance payments without stress. You can open free virtual accounts in multiple currencies, convert your earnings at great rates, and withdraw straight to your local bank account.

Create your Grey account today or download the app to enjoy inclusive global banking designed to carry your dreams across borders.

‍