Pricing your services is one of the most uncomfortable parts of running a business and being a freelancer. Because for a lot of us, especially women, BIPOC, and LGBTQ+ entrepreneurs, there’s a whole lot of internal struggle wrapped up in asking for money.
We’ve been conditioned to be grateful for the opportunity. To avoid seeming “difficult” or scaring away the offer. To knock off a little here and there so the client feels good. That’s called leaving money on the table.
So let’s talk about it.
The Real Reason You’re Undercharging
Before we get into the “how,” let’s get honest about the “why.” Most people underprice for one of these reasons:
Fear of rejection. If you charge more, they might say no. True! Some will. But the clients who say yes at your real rate are worth more than a full roster of clients who got a deal.
Comparison to the wrong people. You looked at what someone else charges, felt intimidated, and went lower to “stay competitive.” But you’re not them. Your business, experience, niche, and/or audience is your own.
Imposter syndrome. That nagging voice that says you haven’t “earned” your rate yet. News flash: if you’re ambitious and always goal-setting, you will never fully feel like you’re where you want to be. Price the work you’re doing now, don’t punish yourself for not being the version of you that you’re working to become.
Cultural pressure. For many of us, there are real community and family narratives around money. That wanting too much is shameful, or that service and sacrifice go hand in hand. Naming this doesn’t make it disappear, but it does make it easier to work through.
Okay, So How Do You Actually Price Your Services?
Here’s a framework that works without requiring a finance degree.
1. Start With What You Need to Survive
Add up your business expenses–software, subscriptions, workspace Sesh memberships count!), marketing–and your personal living expenses. Divide that by how many billable hours or clients you can realistically take on per month. That number is your floor. You cannot go below it and stay in business.
2. Factor in Your Time, Not Just Your Deliverable
A lot of service providers price the final product, the logo, the strategy deck, the session, without accounting for all the invisible work around it. Calls, rounds of revisions, email back-and-forth, project management, the 2am shower thought that solved the whole problem. That time is part of the work.
3. Research the Market
Yes, look at what others in your industry charge and treat it as a range. If you have more experience, a niche specialty, a specific community you serve exceptionally well, or results that speak for themselves, you can and should bump your rate.
Network with people who know how to remove the corporate mask and who are willing to be open with you about pay. I’m very grateful for the people I’ve connected with who were happy to be honest and talk money. It has helped me immensely to know what other people around me make.
4. Remember That You Actually Want to Make Money
Not just “enough to cover costs.” Actual profit. Money that goes toward growth, emergency savings, investing back into your business, or your own retirement. If you’re not building margin into your pricing, you’re running a very expensive hobby.
5. Test, Adjust, and Raise It When It’s Time
Price increases are not betrayals. They’re a normal part of running a business. Your skills grew. The cost of everything went up. You’ve got receipts now: client testimonials, results, years of experience. Your prices should reflect that.
A good rule of thumb: if no one has ever pushed back on your rate, you’re probably undercharging.
How to Talk About Your Price Without Apologizing
This is where it gets real. You can do all the math in the world and still fumble the delivery.
Here’s what not to do: “So my rate is… I mean, I usually charge around… but I can be flexible if that’s too much.”
Hard no. You just negotiated against yourself before they said a word.
Here’s what to do instead: State your rate clearly. Then stop talking. Seriously, after you say your number, let there be silence.
If they come back with “that’s out of budget,” you have options: offer a smaller scope, a lower rate if it’s work that you really want to do, or, and this is valid, simply say it’s not the right fit. Not every client is your client. The right ones will pay your rate.
Need a space to actually get that new pricing strategy down? Come work it out at Sesh. We’ve got the Wi-Fi, the coffee, and a community of people who get it. Book a tour or grab a Day Pass →