Sharon Sobel has been freelancing in the metro DC area since 2003. Prior to that, she was the production manager at Maguire-Reeder, where she was responsible for hiring and paying freelancers, and keeping projects on deadline and on budget. She used the knowledge and business skills gained on that job as she embarked on to freelancing. Sharon works as a freelancer for production companies and television stations in the area, filling roles from production assistant to producer/director. She also produces script-to-screen projects for corporate clients on her own, bringing in freelancers, as necessary.

1. How to set a rate and stop working for
food, t-shirts, or film credits

2. Before you can determine a rate, you
have to know your annual expenses.

3. Start with an assumption
that you can reasonably
bill for 25 hours per
week, and that you’ll take
2 weeks of vacation per
year.

4. You can’t (and don’t
want to) work 40+ hours
per week on video
projects.

5. 1. 30% taxes
2. 15% overhead costs
So you need to be sure that your rate
will provide enough income to cover
your expenses after 45% of it is gone.

6. To net the same level of
take home pay as a
salaried employee, a
freelancer must bill at
double to triple the
employee’s hourly rate.

7. Look up the job you’re interested in at
www.indeed.com/salary

8. Look up the job you’re interested in at
www.indeed.com/salary
For our example, we’ll use Video
Producer.
$51,000 per year

9. 1. Divide the annual salary by 52
Ex: $51,000 ÷ 52 = $980.77
2. Divide this answer by 40
Ex: $980.77 ÷ 40 = $24.52
So an EMPLOYED, SALARIED
video producer would be paid
$24.52 per hour.

10. $24.52 x 2.5 = $61.30 per hour

11. Half day (5 hours) = about $300
Full day (10 hours) = about $500

12. 1. $60/hr x 25 hours a week = $1500
2. $1500 x 50 work weeks per year = $75,000

13. 1. $60/hr x 25 hours a week = $1500
2. $1500 x 50 work weeks per year = $75,000
3. 30% taxes plus 15% overhead = 45% deducted

14. 1. $60/hr x 25 hours a week = $1500
2. $1500 x 50 work weeks per year = $75,000
3. 30% taxes plus 15% overhead = 45% deducted
$75,000 x.45 = $33,750

15. 1. $60/hr x 25 hours a week = $1500
2. $1500 x 50 work weeks per year = $75,000
3. 30% taxes plus 15% overhead = 45% deducted
$75,000 x.45 = $33,750
$75,000 - $33,750 = $41,250
Remember, your expenses were determined to be
$50,000 per year.

16. 1. $75/hr x 25 hours a week = $1875
2. $1875 x 50 work weeks per year = $93,750

17. 1. $75/hr x 25 hours a week = $1875
2. $1875 x 50 work weeks per year = $93,750
3. 30% taxes plus 15% overhead = 45% deducted
$93,750 x.45 = $42,187.50

18. 1. $75/hr x 25 hours a week = $1875
2. $1875 x 50 work weeks per year = $93,750
3. 30% taxes plus 15% overhead = 45% deducted
$93,750 x.45 = $42,187.50
$93,750 - $42,187.50 = $51,562.50
net profit

19. 1. Know your worth.

20. 1. Know your worth.
2. Get rid of personal debt.

21. 1. Know your worth.
2. Get rid of personal debt.
3. Look into finding a part-time W-2 job (or two)
or way to bring in passive income or regular
income

22. 1. Know your worth.
2. Get rid of personal debt.
3. Look into finding a part-time W-2 job (or two)
or way to bring in passive income or regular
income
4. Know thyself.

23. Don’t hire people or greatly
increase your expenses in any
way until you have mastered
how to squeeze the most out of
your revenue potential while
working alone.