Freelance Matters | Getting Paid
When I hear stories about freelancers not getting paid it makes me cringe. So today I want to talk to all of you freelancers about getting paid and how I go about it. I know asking for payment is really uncomfortable for a lot of freelance designers, photographers, crafters, etc. But here's what I've learned - it's only awkward if you make it so. Do you feel weird about handing over a copay when you go to the doctor? Do you feel funny when you pay your waiter for a meal you just enjoyed? No? Then you shouldn't get all stressed out about asking for money for your services and talent.
I've written before about estimating & billing but here are a few more tips (or reminders) on how to get paid:
1. Your client is not the enemy. I think this is important to note first. I hear so many horror stories about designer / client-from-hell situations and it makes me as uncomfortable as witnessing that unhappily married couple that always bickers in public. A lot of this is about determining a good fit upfront (which I'll get more into later). But basically, if your client likes you they're going to want to pay you.
Sana and Kathleen: An example of a client / designer love-fest.
2. Work in flat fees. This way everyone knows what to expect. If a client can't afford you then they know it upfront. I talk a lot about estimating and flat fees here.
3. Get a deposit before you even begin the project. I like to ask for 50%. This establishes a clear commitment between the designer and client.
4. Get your final payment prior to final file delivery or before you send anything to print. But make sure you receive final approval, in writing, on all work first.
5. Have an invoicing and estimating process and stick to it every single time. The more you estimate and invoice the easier it becomes to know what you're worth and ask for payment.
6. Have a contract. Make expectations clear for what you and the client can expect. If you don't have a contract you can A) make it up (it's better than nothing), B) hire a lawyer or C) refer to a book - like this.
7. Be nice. If you aren't getting paid sometimes it's a simple miscommunication. A friendly reminder can go a long way.
So those are a few tips on how I get paid with freelancing. I've never not received payment from a client so I think it's a pretty solid system.
Do any of you have issues or tips for getting paid? I'd love to hear your point-of-view. Or if you have additional questions I would be more than happy to answer them in the comments section.
Related posts:
• Freelance Matters | Estimating & Billing
• Freelance Matters | Project Management
• Money | Matters
Next up on Freelance Matters:
• Working for Free (aka ProBono): How, when and when not to work for free
This is more of an estimating point, but something that comes up when getting paid. Don't forget about tax!
Think about how much you want to take home from the project. My first project I charged a flat rate. I was so excited about getting that paycheck but then when I took all the tax off it was so much less than I anticipated. All that hard work for what ended up being not much money. I'll never make that mistake again.
Helen - Taxes are a struggle, for sure. I started freelancing before I left my job and found when I claimed my freelance income on taxes, dollar for dollar, what I claimed was taken off the top of my refund. But since I've gone full-time freelance I find that it's still just a percentage of my income just like at my 9-5. So if I make a lot, I owe a lot. If I make a little I just owe a little.
Recently found your blog, and am officially addicted. I too am a designer, I freelanced for a short time, but I had a really difficult time with the money aspect of it (how to charge people, dealing with taxes and stressing on a unsteady paycheck.) Great post.
I additionally will say finding steady contracts with bigger companies or steady small businesses pays better and keeps steady work.
Jennie - Welcome! I will say that the unsteady paycheck was so hard for me to wrap my head around at first. A year later I have the security, from experience, that the money and jobs will keep coming. But I agree with you - finding a steady business or company or even working on a retainer - can definitely make you feel more secure as a freelancer.
For me, using online invoicing software has made a HUGE difference. All of my clients, past estimates and invoices are there... everything is super easy to manage. Plus, I think there is something that feels more "official" about the invoice when it arrives to the client (it's not just a Word doc attached) and subconsciously they feel like they are paying a company rather than a "freelancer."
The "remind" button is also nice when you notice an invoice is late...
Angie - Great point. Having a professional invoice definitely makes it feel less personal and therefore awkward. I've also found that potential clients are so impressed with professional estimates as well that it makes them feel more secure about hiring me in the first place!
@ Angie, What online invoicing do you use? this sounds like a great tool.
Jennie - I use Freshbooks and love it. Just thought I'd throw that out there in case Angie isn't able to get back to your comment.
I use Harvest, which I love! Worth every penny of the $12/mo.
Kathleen, thank you so much for writing this post. Anytime I do any little freelance work -- even if for friends -- I have trouble asking for payment. I definitely shouldn't be doing any more work for free and I should establish some fees. I think if that were the case, I'd be more comfortable asking for payments.
Brandi - I think it's especially hard to ask friends for money. I think sometimes our friends don't understand the monetary worth of what we do - so what I've started doing is even if I design something for a friend for free I send them an invoice with how much the project was worth. That way they at least know what they're getting.
Great article, Kathleen! I feel like photography fees can vary so much from assignment to assignment making it difficult to determine a fair number (fair to them and me). Every seasoned photographer I've spoken to about fees always hem and haw because it can be so arbitrary. You've got me fantasizing about flat fees now, though...hmm..I wonder if I could make that work..:)
Great and helpful article. One question about final payment...how do you deal with things like printing and expenses? I think it's a great idea to request final payment before file delivery, but I can't figure out the logistics of how to do this, since I won't know the amount of the final bill until I have a final bill from the printer for their costs and shipping. Any thoughts would be appreciated!
Thanks, CDE.
The way I do it is when I have all my print specs finalized I send them to my printer for a solid estimate. That way I know how much I'm going to need to charge for printing. I typically guess with shipping but UPS and FedEx provide estimating tools online that help estimate that as well.
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