This is a great thread, but I have a lot to say about this in particular.https://twitter.com/_sagesharp_/status/936399670535843840 …
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First: don’t charge hourly. Charge a day rate. Serious customers won’t balk. You don’t have a unit of work less than 1 day.
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I’ve written dozens of things about how evil hourly rates are, but this is the most concise one: https://news.ycombinator.com/item?id=4103417
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Second, you can figure out your rate FLOOR by backing out your expenses from a dev salary, but that’s not your CEILING.
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Good consultants can charge 3x+ their FTE rate. “Good” doesn’t mean “super awesome coder”; it means “super clear understanding of your value”.
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Think of it this way: if your normal project is a week, and someone was willing to book you up for 2 months, you’d give them a discount.
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If they could book you up for a WHOLE YEAR, you’d give them a huge discount.
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That “discount” is baked into your full time salaried wage, along with “promise to pay no matter how many hours worked” and “lots of benefits” and “it’s a very big deal to fire you”.
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- Consultants don’t normally get long-term commits. - Consultants don’t get paid for stretches where there’s no work to do. - Clients fire consultants without even thinking about it. RAISE YOUR RATES.
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He taught me most of it! Other than maybe the “charge more!” bit.
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Replying to @patio11 @karlmdavis
I feel like I got my “charge more” ethos from BCC.
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