Re:How to Work Out What to Charge Clients
by mvindahl on Wednesday January 31, 2018 @07:19AM
(#16273282)
I work as a freelancer on six month contracts, embedded into regular development teams at customer sites. Before that I have held regular SW developer positions.
A bureau helps me out finding contracts so I spend very little time on self promotion. Also, I don't spend more money on equipment than I would otherwise have done (although, with tax deductions and all, I buy nicer equipment these days). Income tax is unavoidable either way.
I'm charging market rate, which is about 1.5x to 2x what I would get in a regular job with the same amount of vacation and sick days. On top of that, the bureau takes a cut, the details of which I don't know (I invoice them, and they invoice the customer).
On the negative side, being a freelancer is less secure and I may lose income between contracts. This hasn't happened to me yet, and in the current job market, it doesn't feel like an overhanging risk. I think the pay compensates.
A bureau helps me out finding contracts so I spend very little time on self promotion. Also, I don't spend more money on equipment than I would otherwise have done (although, with tax deductions and all, I buy nicer equipment these days). Income tax is unavoidable either way.
I'm charging market rate, which is about 1.5x to 2x what I would get in a regular job with the same amount of vacation and sick days. On top of that, the bureau takes a cut, the details of which I don't know (I invoice them, and they invoice the customer).
On the negative side, being a freelancer is less secure and I may lose income between contracts. This hasn't happened to me yet, and in the current job market, it doesn't feel like an overhanging risk. I think the pay compensates.
Disclaimer: Danish job market, YMMV