{"id":31939,"date":"2020-04-17T18:24:57","date_gmt":"2020-04-17T16:24:57","guid":{"rendered":"https:\/\/www.ideator.si\/?p=31939"},"modified":"2026-01-15T18:14:01","modified_gmt":"2026-01-15T18:14:01","slug":"hourly-or-fixed-price-per-project","status":"publish","type":"post","link":"https:\/\/davidpraznik.com\/en\/zaracunavanje-dela-na-uro-ali-fiksna-cena-na-projekt\/","title":{"rendered":"Charging by the hour or a fixed price per project?"},"content":{"rendered":"
\"Charging<\/figure>\n\n\n\n
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In evaluating its services, it charging for work<\/strong> an important decision. It is a way that can have an impact not only on of the subscriber<\/a>, but also on the contractor. You can choose to charge by the hour or set a fixed price per project. Both options have their advantages and disadvantages.<\/p>\n<\/div>\n\n\n\n

<\/div>\n\n\n\n

Hourly rate<\/h2>\n\n\n\n

Positive facts<\/h4>\n\n\n\n
    \n
  • The final price depends on the actual number of hours worked.<\/li>\n\n\n\n
  • If the volume of work increases, so do earnings.<\/li>\n\n\n\n
  • The customer pays for the number of hours used, not a flat rate.<\/li>\n<\/ul>\n\n\n\n

    Negative facts<\/h4>\n\n\n\n
      \n
    • An experienced designer will be \u201cpunished\u201d for being able to work faster and his work devalued.<\/li>\n\n\n\n
    • The hourly rate does not guarantee a minimum payment for the project.<\/li>\n\n\n\n
    • The client does not know exactly how much the project will cost, as the solution cannot be defined to the hour.<\/li>\n\n\n\n
    • The value of a project is not estimated on the basis of the actual value of the project, but on the number of hours spent. For example: designing a logo may take 8 hours, but its value to the company is much higher.<\/li>\n<\/ul>\n\n\n

      In practice, hourly billing is appropriate for solutions that are not a stand-alone project but are part of an upgrade or small additional work. Examples: redesigning part of the text in a brochure and adding new photos, redesigning the design and functionality of an online order form, etc. The hourly rate is also suitable for those projects that are more difficult to value at a fixed rate and are not included in the price list for design services.<\/p>\n\n\n

      <\/div>\n\n\n\n

      Fixed price per project<\/h2>\n\n\n\n

      Positive facts<\/h4>\n\n\n\n
        \n
      • The client knows the price of the solution from the start, unless the scope of work is extended.<\/li>\n\n\n\n
      • The designer is guaranteed the amount of the payment, even if he finishes the work earlier.<\/li>\n\n\n\n
      • It is a fairer approach to evaluating the solution, as the price is set according to the actual value of the service.<\/li>\n\n\n\n
      • It allows the contractor to make a prepayment (advance payment) and the client to pay in instalments.<\/li>\n<\/ul>\n\n\n\n

        Negative facts<\/h4>\n\n\n\n
          \n
        • The cooperation agreement must include a deadline for implementation, otherwise the project may be delayed longer than expected.<\/li>\n\n\n\n
        • The cooperation agreement must also include the possibility of additional changes at an extra cost, otherwise some clients may want additional changes that they do not expect to have to pay for.<\/li>\n\n\n\n
        • The contractor must have sufficient experience to assess the complexity of the problem and the value of the solution. <\/li>\n<\/ul>\n\n\n\n

          Charging per project or a fixed amount is a common and safe practice for design projects. It also applies to recurring projects where the designer can accurately estimate the scope of work.<\/p>\n\n\n\n

          <\/div>\n\n\n\n

          Important<\/h2>\n\n\n\n
          \n