Friday, January 27, 2023

How Large Should My Prices Be?

April 5, 2011 by  
Filed under Affiliate Marketing

One of the most crucial things that a new Internet Marketer wants to know is what amount he or she should be charging for his (or her) products or services. This is a main concern for freelance writers who are trying to sell their copy development and content writing services to other providers that need them. Some folks believe that they need to charge whatever folks are willing to pay. This is mainly tricky for people who are frequently told that only the barest minimum of rates is acceptable. If you have been trying to figure out how much you should charge for your writing, here is how you come up with that number.

First you have to create a list of all of your regular expenses. This comprises how much you pay each month in rent or toward your mortgage, your utility bills, how much you spend on food, your cell phone bill, credit card payments, etc. Make sure you include the amount of money you think you might spend on fun items like dinners out and frivolous shopping trips. Take this particular sum and multiply it by 12. This is the sum of money that should be put in your bank account annually. This is absolutely not the same sum of money that you need to earn.

To find the sum of money you should bring in, take the amount of money you need to put in the bank annually and add at least forty percent. This can help you cover your taxes and fees-after all, the cash you make online counts as income and you will really need to declare it to the IRS and pay taxes on it. You can use this forty percent against your Medicare, security taxes, etc. The number sitting in front of you right how-your expenses plus forty percent-is just how much you should make.

You probably anticipate doing work at least forty hours a week. This is a good amount to plan for but you ought to realize that only about half of that time will be carrying out actual work for clients. The remaining time you’ll be doing paperwork, advertising, etc. Why is this significant? Because it will have an effect on the amount that you ought to plan on charging. Your gut instinct might be to take the amount you need to earn and then divide it by fifty two and then forty to come up with your hourly rate. Instead you have to divide it by the number of weeks you intend to work and then divide that number by twenty.

Now that you have an hourly rate all worked out, how much you charge per project is up to you. How long does one think it will take you to write an article or a sales page? Take that period of time and multiply it by the hourly price that you have established. This is the amount that you ought to be charging for your various jobs.

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