November 30, 2021
Freelancers: How do you prefer to get paid?
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November 30, 2021
Freelancers: How do you prefer to get paid?
ATD Master Instructional Designer with over 25 years of experience. 
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I am beginning my journey (slowly) into the realm of freelancing Instructional Design work. I have been in the ISD/ID word for a long time and in the training world in one way or another for nearly 30 years.

I have been offered a few opportunities in the past, but never took them, but recently I was asked to help with a few large projects. It started as consulting but quickly turned into them asking me if I could do the things I was talking about as far as Course Design and Development, publishing, etc.

I have looked at various ways of getting paid for my services, but was curious as to what the general consensus is.

I know this depends on the size of the project, so lets say a small simple project, it is better to get aid by the hour or by the project when delivered? (say it only takes 30 – 40 hours from start to finish)

For courses that cost the Active User to take, do you charge a percentage of the Course fee or an hourly rate?

For a normal sized project with varying levels if interactivity, I assume you chare more for more complex projects, but is is simply charging more hours, more per hour, or a combination of both?

5 Comments
2021-12-03 17:07:31
2021-12-03 17:07:31

I am not a self-employed consultant – but if I was…

My initial inclination would be to sit with the prospective customer and determine the scope of the project.

From this – I would draft a well defined Statement of Work. This should contain a brief summary of the problem your services will solve and the goals of the agreement. You would then clearly identify any objectives and deliverables and provide a timeline for completing the project to include any interim milestones.

I would conclude the Statement of Work with any references to any detailed quotations provided and perhaps indicate an additional hourly rate for any requests that fall outside the scope outlined in the Statement of Work. Basically I would set the final price based on how long it would take to complete the project. That is why you outline clearly what will be delivered and done otherwise the customer may attempt to squeeze more out of you than agreed for free at that point.

You don’t want to be a victim of scope creep.

If the project was large and lasting several months – I might consider  requesting a percentage up front so you can have milk for your cereal with the balance on completion.

I am sure some actual freelancers out there will have some more – and better – thoughts on this, so take this for what it is worth.

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Greg Stager
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2021-12-06 12:41:14
2021-12-06 12:41:14
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Greg Stager
's comment

Greg,

 

Thank you, we are in the same line of thinking, but like you, I have not begun my journey quite yet in proposals, SOW, and/or Contracts. I have the same scope creep concerns that you mention and while I understand the SOW can help elevate some of that, I am just curious if there are certain stipulations that may lead one to get paid in various ways. I do like the upfront percentage to get milk for my cereal, I may have to look into that.

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Greg Stager
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2021-12-10 03:58:12
2021-12-10 03:58:12
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Greg Stager
's comment

Speaking from experience, clients like to add in “last minute” thoughts that can totally change the work and time associated with a project. Many like to add work and try not to pay for it. You need to have a defined SOW and a detailed process for how changes happen. You also need to define what can be done under the agreed price and what will cost more.

This is not to say that all clients act this way, just that some do and some try to get more for nothing extra. Stick up for yourself and ensure you get paid for the work you do.

Now, with that said, sometimes you can do a favour for a client and that favour can sometimes create a longer term relationship with that client that brings in other work in the long run. So, you can make those decisions as you wish but if it is a small favour and doesn’t take much time, why not.

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RY-ID
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2021-12-11 02:52:03
2021-12-11 02:52:03
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RY-ID
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Thank you,  I appreciate the insight. I see that often enough in my regular job that I am planning on writing stipulations for change requests/orders, modifications, set work hours, and charged for after hours work,

i know that it can pay to scratch each other’s back on certain things, but it can be a bit tricky not letting it get too one sided and allow anyone to counter the SOW statements.

 

 

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Donald Dehm
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2021-12-14 16:18:59
2021-12-14 16:18:59
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Donald Dehm
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Absolutely. You have to set boundaries for what you are willing to do or not. Definitely something that will take hours of your time needs to be paid for. Something that takes a few minutes, why nickel and dime someone for a short term gain when the long term can be more fruitful. I know everyone knows that, but sometimes still not a bad thing to say what everyone knows from time to time.

Good luck.

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