Every freelancer should know what their per word rate is. It is essential for negotiation with clients, selecting gigs, and making a decent and worthwhile income as a freelancer. Don’t know what your rate is? Then it is time for you to find out!
There are several factors to consider when you decide your per word rate, including your experience level, ballpark per word rate you currently earn, and attractiveness to clients. If you are a new freelancer, you can’t quote clients $.20 per word and expect them to be interested. A reasonable rate for new freelancers is around $.05 to $.10 per word, while seasoned freelancers can earn $.50 to $1.00 per word from clients. You’ve got to pay your dues, but even $.10 for a 400 word article isn’t a bad starting rate – that’s $40 in your pocket right there!
When setting your per word rate, consider what you’ve been paid in the past. If you have only received payment for flat fee articles, you can calculate your per word rate by dividing the amount you earned by number of words written. For example, if you earned $15 for a 300 word article then you earned $.05 per word on that gig. Consider your highest per word gig your starting point – after all, if you’ve been able to earn it once, why would you ever settle for less?
However, it is important – especially when you are a new freelancer – not to set your per word rate to an unattainable level. As sad as it is, one of the quickest ways to get thrown out of an application pile is to charge exorbitant rates for your work. I’m not saying you should undervalue your work – quite the opposite – but the temptation when you are freelancing to overcharge for your work is also there.
The best practice is to decide your per word rate, the rate you will quote your clients and aim to be paid at, and also to establish your ALAIGR: As Low As I’ll Go Rate. It is really important to have a sense of your ALAIG rate when you enter into negotiations with clients, especially in this economic climate, so you can earn money, find work, and not work for peanuts. The ALAIGR is best set between $.03 and $.05 less that your asking rate.
The most important thing after you have set your per word and ALAIG rates is to stick to them. Nowadays, there are tons of clients out there trying to get something for nothing, or at least something for very little. It is not uncommon to see work available offering $10 pay for 700-800 words or $15 for a piece requiring heavy research or nit-picky client instructions. How do these clients get away with charging this much? We let them! Remember, at the end of the day you will be paid what you feel you are worth. Don’t sell yourself short, and don’t accept work below your established rates – you will only be cheating yourself, and wasting time working for nothing instead of chasing down the better gigs.
Want more on rates for new writers? Check out Deb’s post at FWJ: Let’s Brainstorm: How to Empower New Freelance Writers Not to Settle for Low Pay
June 4th, 2009 at 11:06 am
Thanks for this post. I think this article and a few others were actually HELPFUL to me, the freelance writer. I have been writing for over a year and have grown as a freelance writer. I used to write when I was in high school but got off course — I’m back on track!
It’s time for me to raise my rates. Unfortunately, most people give freelancers the “wishy-washy” answer of “charge what you feel your worth.” That’s great, I think I’m worth $1,000+ per blog or article. Will anyone pay this? Maybe. This article gave me a good basis and the courage to RAISE my rates and STICK to them.
June 5th, 2009 at 11:42 am
Hey Rebecca! So glad this article was helpful for you, and I wish you nothing but the best in your freelance career – I’m sure you’re worth way more than $1000+! The more of us that demand what we are worth, the fewer number of clients that will try to pay us less than fair.