Tips for Setting Rates as a Freelance Graphic Designer

Setting rates as a freelance graphic designer can be tricky, especially since, for some projects, it can be difficult to know how much time it will take.

Once, not too long after I finished my journalism degree, I was asked to design a logo. I had taken a graphic design class, and a Flash class, and I thought I could handle it. I quoted a price that I thought seemed reasonable for a logo, was accepted, and then got to work.

Unfortunately, I’m not exactly the most talented when it comes to design — and I didn’t know the software as well as I thought I did. By the time I finished the job, I felt wrung out, and realized that I had been working for less than minimum wage.

I made the decision never to take on graphic design work again. But the experience taught me a little bit about setting rates as a freelance graphic designer:

Hourly vs. Per-Project

Setting freelance graphic designer rates starts with the classic freelancing dilemma: Hourly or per-project? One of the advantages of setting hourly rates is that you are paid for the work you do. With a graphic design project, it’s easy for things to get out of hand, and for you to work more than you expected.

Unfortunately, most clients want you to give them an actual quote for the project, rather than an hourly rate. As you get better at estimating how much time it takes to accomplish certain tasks, you can translate your preferred hourly rate into a flat per-project quote. For instance, if your preferred rate is $75 an hour, and you are fairly confident that designing a flyer will take you an hour and a half, you can quote $112.50 (or round it up to $115 to make it look neater).

Even when you are pretty sure you know how much time something will take, you should consider building in a little breathing space. Perhaps you quote $125 on the flyer project, just to cover the possibility that it takes you a little extra time to tweak some of the design elements. You might even quote $150, in case you end up working two hours on the project.

When you do get a client that will allow you to work on an hourly basis, consider purchasing a timekeeping application. Some freelance graphic designers charge more than $300 an hour (although $75 to $150 an hour is much more common, and there are those, at the low end, that charge $25 to $50 an hour). If you are going to charge hourly, and get your preferred rate, you had better be working on the client’s project for all of the time charged. No messing around on Facebook for 15 minutes of the hour.

Another option is to provide a graphic design menu. There are some projects, like creating logos, that are fairly easy to do. Peter Anderson, the awesome designer that created the Planting Money Seeds logo, has made it kind of a specialty. He’s a great logo guy (and he does good work on other things, too). If you have a specialty, you can consider creating a menu for your work, and allow clients to choose what they are looking for, and base your fee on that.

Freelance Graphic Designer Agreements

As you work with your clients, and set rates, you want to make sure that you know exactly what the client expects — and that the client knows what he or she is paying for. When you create an agreement for work, here are some of the things to include:

  • Number of revisions you will perform on the project.
  • What, exactly, you will do.
  • Provisions for additional charges if you go beyond the original scope of the project (usually subject to approval before you proceed).
  • Some sort of pre-payment if it’s a big project. If the project will be large and expensive, you can work out a payment plan, or ask the client to pay half up front and half later.
  • Consider spelling out additional fees, such as a premium for rush jobs.

You don’t have to have a formal contract for each job; an email explicitly stating terms, along with a reply that the client accepts, works as an agreement.

As you consider how to charge as a freelance graphic designer, make sure you think about how long a project is likely to take, as well as the degree of difficulty involved. It can be a little difficult at first to accurately gauge what you should charge, but experience should help you more accurately quote prices in the future.

Image source: Bummelum via Wikimedia Commons

8 Responses to Tips for Setting Rates as a Freelance Graphic Designer

  1. Great post Miranda, I also believe that there are lots of things you need to consider when setting rates of graphic designers and tricky just like what you have elaborated. Another way that you could consider when figuring your rate is based on your skills and experienced. The cost of the living in your country also needs to be consider just like in the Philippines and India where the rate of graphic designers are low because the cost of a living is considerably low compared to UK and US. I’ve come across to a freelancing site called where I’ve hire an affordable graphic designer. I also know that as employer we shouldn’t bargain quality over cost. That’s why before I hire a graphic designer I test them first which allows me to see who among them has the potential to do the job.

  2. @ Patric C.
    How would you test this freelancer you have in mind? Would a portfolio and a resume or possibly references not be enough?

    Jon B. in Tennessee

  3. Nice post and thanks for sharing this. I can say that there are many things on which rates depend like type of projects, duration of project, complexity of project, other issue related to it. So these are major factor on which mainly rates depend. I am also proving freelancing services. and by site is Ypu can check my rates for reference.

  4. Thank you for the article!

    I do have a question, however: I’ve been researching industry standard rates for the past few days, and I’ve found the highest rates are at this website. Other sites have said 25-100/hr or somewhere in the middle. And I have a problem faced by many other designers; I haven’t yet found a comfort “level” for cost. I’ve been out of college for 2 years and working for a company for a year and a half. Although I have been freelancing for those 2 years, I haven’t felt comfortable charging more than my “corporate” rate. What experience levels would you say warrant different tiers of costs you listed above? I’d like to make sure I don’t continue to undersell myself, but I don’t want to scare away this client I’ve been working with for future projects.

    • As I mentioned, charging $300 is probably not realistic for most freelancers — at least not for quite some time! Many of the graphic designers I know charge between $75 and $100 per hour, and there are a couple I know that charge $50. Personally, I think $25 is a bit low, but, as I mention, there are those who will go that low (kind of like how there are freelance writers who will write 500 words for $2.50 to $5.00).

      At any rate, one of the things I do is test the waters by charging a slightly higher rate to new clients. If you’ve been freelancing for two years, you should have some experience to draw on, so asking for a little more when new clients ask doesn’t hurt. Consider asking for 5% – 10% more than your corporate rate and see what a new client says.

      This also isn’t a bad time to ask for a raise for your corporate rate. There is something to be said for regular work, and usually accept a lower rate when the gig is on-going. You can talk to your boss about a raise of 2% to 4%, and if you get it, that will naturally bump up your corporate rate.

      I routinely give price breaks to long-time clients of mine, as a courtesy, rather than charing them my higher, “regular” rate. It’s nice, and keeps the relationship going. Hope that helped a little.

  5. Really great and succinct article. I’m a musician and these exact same points apply. There’s a whole technical field in music now which briefly stated involves preparing music out of the computer for live players – usually to record to accompany film or other visual media. There are many different steps and many different jobs associated with the process and the “per hour or per project” question always comes up.

    I was actually led to this site because I found myself in a similar graphic design position. I was doing it as a fun thing on the side but someone really liked my work and hired me. They needed a price upfront for approval. I wasn’t sure about rates but at the end of the project, even though it turned out great and I enjoyed it, I realized I’d been working for about minimum wage.

    I’m getting better now at setting rates in both fields as I’ve gained experience, but your post was most helpful!

  6. Hi there. This is a great post to help designers price their work. But as a designer for 25 years, with a BFA and professional graduate degree in communications, I am concerned by this bit of extreme misinformation: “There are some projects, like creating logos, that are fairly easy to do.”

    A clever, well-designed logo is one of the most difficult things a graphic designer can create. Flyers and publications are nothing compared to developing a simple symbol to illustrate complex concepts. Most good logo designers say the process requires upwards of 12 – 20 hours explore fully, dozens if not hundreds of sketches, and extensive research on the topic(s) involved. This is why the “Logos, $99 bucks!” approach or the online designer competitions for terribly low returns are so frowned upon by the AIGA and the Graphic Artists’ Guild. They cheapen the profession terribly.

    I take few logo projects because with the world assuming they’re “easy to whip up in 30 minutes” you wind up making $10/hr. Again, thanks for your post.

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