For my final post of 2009, I'd like to discuss freelance writing rates. Several writers have commented to me in the course of the year that they make $30-$40 an hour writing four articles an hour for content mills, and that they consider that great pay.
But is it? What is a good rate to shoot for in freelance writing?
My answer, in case you couldn't tell from the title of this blog, is $100 an hour. That should be your goal.
Let's do the math to learn why it's important that your hourly rate be so high.
If you work 35 hours a week, $30 an hour means you'd make $52,500 a year allowing for 2 weeks' vacation. Sounds good on the face of it, right?
But at $100 an hour, you make $175,000 a year. Wow! Big difference, huh?
I sense that you're freaking out. Think it's impossible? Yesterday's pay rate? Hardly. That's my own rate goal for my business.
If you're saying, "I don't need to make $175,000 a year, so $30 an hour will be OK," I'd like you to consider these three things:
Your expenses.Costs include paying your own health insurance, which is more costly every year. Paying state, local and federal taxes, and self-employment tax. Paying for equipment, marketing, Web-site development, advertising, heat, light, paper and other supplies. Making $40 an hour at a full-time job where they pay the benefits might pencil out – but the equation changes when you're on your own. After expenses, that really doesn't leave much net profit.
Unbillable hours. Then there's the downtime. You wait for interview calls to start, bill accounts, market the business, tally up your monthly accounts, have a slow week where you aren't fully booked, and on and on. Not every hour is a billable hour. Track your time for a month to get a sense of how many real, billable hours you've got – it'll probably be eye-opening.
Work/life balance. Didn't you start freelancing so you could spend more time with family? Many freelancers get into it for the "freedom," but end up working 12-hour days to keep it going…not that freeing in my view. A lot of us with children find we've got only 30-32 real, available work hours in the week unless we want to stick our kids in many hours of child care.
Put these three factors together and you'll quickly see why your average hourly rate needs to be high in order for you to earn a decent living.
Don't know what your average hourly rate is now? Track your billable hours for a month to get a sense of your current rate. Then, set a goal of improving your hourly rate in 2010. You won't bill $100 an hour overnight if you're at $20 an hour now. It'll take time to gradually replace lower-paying accounts with higher ones – but it'll be worth the effort.
There's one final reason to aim high, for $100 an hour. We often don't achieve our goals in life. Maybe one client's at $100 an hour, but you have another situation where it works out to less, but there's still a good reason to do the gig -- a great editor connection you want to keep, for instance, or great exposure that helps your marketing. So when we shoot for $100, we may end up with $75 overall and still do quite well. Shoot for $30 and you may end up with not enough to buy groceries.
Whatever your rate now, make a plan to increase your hourly rate in the coming year – because better-paying gigs are what truly put the "free" in freelance.
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Why Freelance Writers Need to Make $100 an Hour
12/30/09
What is the required P90x equipment?
Here's a little background information.Tony Horton, the creator of the Beach Body P90x DVD program has put together 12 different workouts that can be easily performed in your home with only a few pieces of equipment. No need for an expensive Bowflex, Total Gym, or Bio Force TNT that costs thousands of dollars. The Power90 can help you achieve your fitness or bodybuilding goals.Insanity is very useful.
Comments
Thanks Carol for pointing on various factors I didn't consider when coming up with my freelance writing rates! I definitely realize that working as a freelance writer means freedom and that freedom comes not only from working at home and doing something we love, but also the freedom to create a financially rich business that can sustain us.
Carol, Thanks a lot for your "nuts and bolts" experience. I'm just starting out. One of my problem areas is that I don't have a good idea to know how long jobs take to get done. I do have a spread sheet where I track my time to get a realistic picture. I believe part of my problem is that I'm a generalist and you specialize. So, even doing a news story where I do have experience varies with the subject. The story took 5 hours to write. I took 6 photos, and the small regional newspaper used one, and--the real killer here--I sat through a day in court, too. But then so did the TV news reporter. I'm embarrassed to say what I got for that news story, but "small" should give you an idea. Newspapers have flat rates, you take it or you don't. If I'd done the same story for a corporate magazine, I would have done much better--and named my own price.
Hi Carolee -- That is a tough one when you're starting out. I remember when I got one of my first really legit writing gigs, writing for the Real estate section of the L.A. Times. It took me like 6 weeks to write each of their features! I did like a book's worth of research and interviews on each article.
I think at the beginning, figuring an hourly rate may not be that valuable -- it's more about building good clips and getting your portfolio together. The good news is you hopefully get faster as you gain experience and learn how to find information efficiently. And shortly, your hourly rate will hopefully start to make sense.
In general, writing for newspapers isn't a big money-earner. But the bylines are very valuable for getting better-paying accounts. So remember to limit how much newspaper work you do and use your clips to move up to better paychecks. I still write for newspapers today -- the Seattle Times real estate section right now -- and find it's valuable to keep my name out there in my local market that way.
Inadvertently, you've raised YET ANOTHER REASON why you need to aim for a high hourly rate -- sometimes, it makes sense to work for a low rate for exposure or marketing reasons, or connections with editors you want to keep. But that pulls down your hourly earning average. So you need some really good-paying clients to balance that out.
Thanks for writing and hang in there! If you want help getting more efficient with your reporting faster, see my Mentoring tab for more info on how I can help.
Carol
I think at the beginning, figuring an hourly rate may not be that valuable -- it's more about building good clips and getting your portfolio together. The good news is you hopefully get faster as you gain experience and learn how to find information efficiently. And shortly, your hourly rate will hopefully start to make sense.
In general, writing for newspapers isn't a big money-earner. But the bylines are very valuable for getting better-paying accounts. So remember to limit how much newspaper work you do and use your clips to move up to better paychecks. I still write for newspapers today -- the Seattle Times real estate section right now -- and find it's valuable to keep my name out there in my local market that way.
Inadvertently, you've raised YET ANOTHER REASON why you need to aim for a high hourly rate -- sometimes, it makes sense to work for a low rate for exposure or marketing reasons, or connections with editors you want to keep. But that pulls down your hourly earning average. So you need some really good-paying clients to balance that out.
Thanks for writing and hang in there! If you want help getting more efficient with your reporting faster, see my Mentoring tab for more info on how I can help.
Carol
Carol,
love your style, just had to start off with that. I love the idea of #100 an hour but I would like to just get to the $30/Hr. first. I have been a victim of doing ghost writing for certain sites that pay me $35 for 10 500 word articles. I also write for Associated Content and that has been a non-winning situation, aside from building me a writing resume.
I do love the idea of making $100 an hour and believe good writers need to make good money. I guess I will shoot higher in the New Year and put added value to my ability to write. Thanks for the encouraging article.
~~April Storm
love your style, just had to start off with that. I love the idea of #100 an hour but I would like to just get to the $30/Hr. first. I have been a victim of doing ghost writing for certain sites that pay me $35 for 10 500 word articles. I also write for Associated Content and that has been a non-winning situation, aside from building me a writing resume.
I do love the idea of making $100 an hour and believe good writers need to make good money. I guess I will shoot higher in the New Year and put added value to my ability to write. Thanks for the encouraging article.
~~April Storm
Hi April -- thanks for the positive feedback!
My point of view is that ghostwriting needs to pay WELL, as you don't get any marketing value with no byline. Should pay $.50-$1 a word or more. I have a client where I just raised their rates because after I got started on the project it turned out to be ghostwriting. Ghosting greatly enhances someone else's reputation while you work behind the scenes, so it costs a premium. They own the material and can use it to promote their business forever. As far as I'm concerned, $500 or $1000 for an article like that is the best deal ever. On behalf of professional writers everywhere, please don't ghostwrite for nothing!
If I read your post right, you wrote 5,000 words on 10 topics for a total of $35? That's LESS THAN ONE PENNY A WORD! The first article I ever wrote, that won a writing contest at an alternative paper in like 1989, paid $200 for one, 750-word essay. Why-ever would you think, with inflation, that you should be paid radically less now? My heart just breaks when I hear about writers accepting these kind of rates.
I'd love it if you or one of the other folks writing for cheap content sites would explain to me why you would ever accept such an assignment, because I just don't get it.
It's interesting how you stated it, too, "I have been a victim." Who takes an assignment that makes them feel so bad about themselves, and impoverishes them so greatly, and why?
I don't think that you can really call yourself a victim here -- no one is making you do it, no one kidnapped you. You're allowing yourself to be exploited by accepting these assignments. The good news is you can stop right now and use your clips to start getting real paychecks, through networking in person and online, querying, and other tried-and-true methods.
Write back and let us know how it goes -- and setting $30 an hour as an average rate for 2010 sounds like a great goal for you!
Carol
My point of view is that ghostwriting needs to pay WELL, as you don't get any marketing value with no byline. Should pay $.50-$1 a word or more. I have a client where I just raised their rates because after I got started on the project it turned out to be ghostwriting. Ghosting greatly enhances someone else's reputation while you work behind the scenes, so it costs a premium. They own the material and can use it to promote their business forever. As far as I'm concerned, $500 or $1000 for an article like that is the best deal ever. On behalf of professional writers everywhere, please don't ghostwrite for nothing!
If I read your post right, you wrote 5,000 words on 10 topics for a total of $35? That's LESS THAN ONE PENNY A WORD! The first article I ever wrote, that won a writing contest at an alternative paper in like 1989, paid $200 for one, 750-word essay. Why-ever would you think, with inflation, that you should be paid radically less now? My heart just breaks when I hear about writers accepting these kind of rates.
I'd love it if you or one of the other folks writing for cheap content sites would explain to me why you would ever accept such an assignment, because I just don't get it.
It's interesting how you stated it, too, "I have been a victim." Who takes an assignment that makes them feel so bad about themselves, and impoverishes them so greatly, and why?
I don't think that you can really call yourself a victim here -- no one is making you do it, no one kidnapped you. You're allowing yourself to be exploited by accepting these assignments. The good news is you can stop right now and use your clips to start getting real paychecks, through networking in person and online, querying, and other tried-and-true methods.
Write back and let us know how it goes -- and setting $30 an hour as an average rate for 2010 sounds like a great goal for you!
Carol
Right on, Carol. Right on. I work in two writing worlds, copywriting and editorial (I\'m a travel writer). In the editorial world, there\'s rarely such a thing as billable hours or an hourly rate. But editorial writers need to consider the hourly ramifications of the work they do. Too many freelance writers cheapen themselves by grinding out work for content mills or other low-paying gigs...simply because they can. And ironically, some high-paying work ($2/word and up) ends up being worth a few bucks an hour. No matter whom we write for, we all need to view ourselves as professionals who deserve to be well compensated for good work. A hundred bucks an hour has a very nice ring to it.
Carol,
In re: your query to April Well, I'd love to try an explanation.
I have been a technical writer since I left my career in IT five years ago. I did it because I felt that working in information technology was a soul-less and unfulfilling career and, although it paid well, was simply draining. When I started writing for a living, I was fortunate enough to hire on with a company that did technical writing and instructional design stuff for a major client. The work and the pay was fantastic. That lasted until the economy turned south and they lost the client - and eventually closed shop. Well, at that point, I had to start looking for work on my own, and boy was I surprised! I hadn't realized how blessed I was to not have had to scrap and scramble for my own gigs - of course that meant I wasn't prepared to do it on my own.
2009 was the first year of my life that I'd ever earned below the poverty level. I found myself accepting gigs such as April described. I actually took on a client who paid $3.50 per 500 word article, simply so I could have some positive feedback and show earnings for a profile on one of the freelance sites I joined. I accepted it as a cost of doing business. Well, I found it didn't pay off, probably because there was someone else behind me who was willing to do the same thing and continue the cycle.
Honestly Carol, I find it's brutal out there for someone just beginning - or having to fight their way in to make some semblance of a reputation. There are too many writers (or those who believe they can write) and too few well paying jobs. The cheap content sites are a way to at least build a portfolio that we can point potential clients to, and hopefully scratch out some sort of a living as well.
All that being said, I do agree with you that we must cumulatively, as writers, make a pact to not only keep the standards of writing high, but demand fair compensation for what is a valuable commodity - that of crafting influential and compelling words and allegory. We are in fact nothing, without our stories.
Thanks for the opportunity and for your insightful post.
In re: your query to April
I have been a technical writer since I left my career in IT five years ago. I did it because I felt that working in information technology was a soul-less and unfulfilling career and, although it paid well, was simply draining. When I started writing for a living, I was fortunate enough to hire on with a company that did technical writing and instructional design stuff for a major client. The work and the pay was fantastic. That lasted until the economy turned south and they lost the client - and eventually closed shop. Well, at that point, I had to start looking for work on my own, and boy was I surprised! I hadn't realized how blessed I was to not have had to scrap and scramble for my own gigs - of course that meant I wasn't prepared to do it on my own.
2009 was the first year of my life that I'd ever earned below the poverty level. I found myself accepting gigs such as April described. I actually took on a client who paid $3.50 per 500 word article, simply so I could have some positive feedback and show earnings for a profile on one of the freelance sites I joined. I accepted it as a cost of doing business. Well, I found it didn't pay off, probably because there was someone else behind me who was willing to do the same thing and continue the cycle.
Honestly Carol, I find it's brutal out there for someone just beginning - or having to fight their way in to make some semblance of a reputation. There are too many writers (or those who believe they can write) and too few well paying jobs. The cheap content sites are a way to at least build a portfolio that we can point potential clients to, and hopefully scratch out some sort of a living as well.
All that being said, I do agree with you that we must cumulatively, as writers, make a pact to not only keep the standards of writing high, but demand fair compensation for what is a valuable commodity - that of crafting influential and compelling words and allegory. We are in fact nothing, without our stories.
Thanks for the opportunity and for your insightful post.
Hi Mike --
I don't understand why you felt you had to build a portfolio, when you clearly already had a great technical-writing portfolio to work with! Maybe you wanted a few clips in other niches?
I want to explode the myth that new freelancers need to start at $3.50 an article...you've inspired me to call on my fellow high-earner Sam Thacker...going to ask him to do a guest post about how he broke in at a high pay level.
Thanks for your thoughts, and subscribe so you don't miss more on this conversation in upcoming posts!
Carol
I don't understand why you felt you had to build a portfolio, when you clearly already had a great technical-writing portfolio to work with! Maybe you wanted a few clips in other niches?
I want to explode the myth that new freelancers need to start at $3.50 an article...you've inspired me to call on my fellow high-earner Sam Thacker...going to ask him to do a guest post about how he broke in at a high pay level.
Thanks for your thoughts, and subscribe so you don't miss more on this conversation in upcoming posts!
Carol
Carol,
I'd love to subscribe to your blog and keep up with this conversation, as well as with your future posts and those of your guest writers. I've already perused Bob Howells post (and his ebook page), and found inspiration. Only problem... I can\'t seem to locate where I can subscribe! In most blog formats, there\'s a big ol\' button that yells \"subscribe\" - but I don\'t see that. So, thanks for the invite and I\'ll check back in for a response.
~Mike
I'd love to subscribe to your blog and keep up with this conversation, as well as with your future posts and those of your guest writers. I've already perused Bob Howells post (and his ebook page), and found inspiration. Only problem... I can\'t seem to locate where I can subscribe! In most blog formats, there\'s a big ol\' button that yells \"subscribe\" - but I don\'t see that. So, thanks for the invite and I\'ll check back in for a response.
~Mike
For anyone who's baffled, you can either subscribe to my blog through the orange RSS button at the top of my pages, or click the "writing blog" link and then you'll see the 'email' subscription link by the "share this" tab.
Hope that helps!
Carol
Hope that helps!
Carol
What is the required P90x equipment?
Here's a little background information.Tony Horton, the creator of the Beach Body P90x DVD program has put together 12 different workouts that can be easily performed in your home with only a few pieces of equipment. No need for an expensive Bowflex, Total Gym, or Bio Force TNT that costs thousands of dollars. The Power90 can help you achieve your fitness or bodybuilding goals.Insanity is very useful.