How To Set Your Rates As A Freelance UI/UX Designer
User experience is essential in today’s digital world. Not only do 48% of consumers base their opinions of a company’s credibility on its website design, but 94% say the first impressions they have a business come from website functionality. As a result, UX and UI designers now rank among some of the most in-demand technical specialists in the world.
If you decide to make the most of your web development and design skills by pursuing a role as a UI/UX designer, you’ll have a few options to explore. You can choose to join a design agency, work specifically for one company, or embrace your freedom as a freelance designer.
While freelancing is an excellent way to get more control over the rates you charge, the customers you work with, and other important factors, it’s not without its challenges. For instance, you’ll need to decide what you’re going to charge your customers to make a profit.
So, how do you set your rates as a freelance UI/UX designer?
The Most Common Pricing Structures for UI/UX Freelancers
There are a few different things you’ll need to consider when you’re setting your rates as a UI/UX freelance designer. The first step you should take, is to look at some of the most common ways professionals tend to charge their customers in this industry. Your options include:
Pricing Per Hour:
This is a common pricing structure for many freelancers when they’re just getting started. If you’re moving into the freelance world from a standard job, being paid per-hour is likely to be what you’re used to. Essentially, you decide on a specific price for each hour you work on a UX design project.
When quoting your customers, you’ll need to consider how long it’s likely to take for you to finish a project. Crucially, it’s important to ensure you’re not adding “extra hours” onto the price here. Your customers will want to know they’re getting a good deal for the amount of work you’re doing. Some customers may even ask you to track the number of hours you spend with a software tool.
The biggest challenge with this strategy is you can often underestimate just how much work a project might require, which means you get under-paid.
Pricing Per Week Or Month
If you know a project is going to take more than just a few hours, pricing per week or month could be a better alternative. This ensures you can focus more of your efforts on completing the task at hand, rather than tracking every hour you spend on a project. You’ll need to think carefully about how long once again something is going to take before you get started.
Give your client realistic expectations about what they can expect to get from you each week or month, and arrange a contract that will last for the life of the project. In these situations, it’s often better to under promise and over-deliver, so you aren’t accidentally setting yourself up for failure. However, you might find you need to negotiate pricing with each client based on their budget.
Pricing Per Project
Probably the best pricing option for any web designer or developer is to price per project. This strategy will allow you to assess the needs of each company or client you work with carefully, and come up with a price based on the amount of time, effort and energy you need to put into the project.
Pricing per project also means you can adjust your pricing at any time to ensure you’re still making a profit. It’s much harder to increase your prices if you find you’re not charging enough after you’ve already agreed to a specific per-hour or per-week rate with a client. Pricing per project also means you’re focusing less on the time it takes to finish a project, and more on the deliverables.
What to Consider When Setting your Rates
Once you’ve considered your pricing options as a UI/UX designer or developer, you can begin to look at what your own pricing structure is going to be. There are a few things you’ll need to consider to make sure you’re charging the right prices to make a profit, such as:
- Your overheads and expenses: While you can easily work at home and reduce some costs as a freelancer, you’re still going to have overheads to deal with. This will include paying for your computer, electricity, rent, internet, and any software you might be using. When adding up your expenses, make sure you include everything you need to actually do your job.
- Your skills and expertise: If you have a higher level of education than most freelancers, or a strong background working with professional companies, then you can usually charge a higher rate. Most companies will be willing to pay a premium for a freelancer who has already proven their worth in the landscape. If you’ve worked hard to expand your knowledge and talent in the industry, you can account for this in your pricing.
- The competition: Ultimately, you should always avoid choosing a price for your service that’s much lower than anything offered by other freelancers. While this might attract some clients to begin with, others will see your low pricing as evidence of poor quality work. Most companies expect to get what they pay for from freelancers. However, looking at what other companies and freelancers charge should give you a good baseline for your own prices.
Remember, your pricing structure can and probably will change over time as the landscape continues to evolve. If you need to start using new software, obtain different skills, or the cost of living goes up, then you’ll need to adjust your pricing structure. Don’t be afraid to approach your clients with any changes to your prices as you continue to grow.
So, How Much Should You Charge?
It’s difficult to know for certain how much to charge when you’re starting out as a freelance UI/UX designer. A good way to get started is to look at some of the average rates for people in your industry. For instance, the current hourly range for a UX/UI designer listed on Salary.com is between $41 and $56 per hour – which is a good increase over last year.
PayScale lists the average hourly rate for a UX designer at around $38 per hour, which is a little lower, but may be a good option for beginners who want to choose a competitive rate. If you’re charging by week or month, you can use your general overview of the kind of hourly rates in your industry to calculate what your monthly pay should be.
If you’re charging per project, then you’re going to have to think a little more carefully about all of the factors which contribute to finishing a project. This will mean assessing the amount of time you need to devote to each design case. Don’t just think about the hours you’ll actually spend working on the project, but also the hours involved in research too.
In all cases, it’s a good idea to have a policy or terms and conditions page where you outline what your prices actually include. This could mean you include a certain number of revisions in each purchase, then additional revisions are charged at an extra fee.
Calculating Your Rates as a Freelancer
These days, freelance UI and UX design is becoming an increasingly common and lucrative option for professionals. Although it can be a little tricky to determine what your rates should be at first, doing your research and considering all of your options should give you a good idea where to start.
If you want some extra assistance, you could always check out what some of the UX/UI designers and freelancers on Storetasker are charging their clients for inspiration.