How To Price Your Services

5 Steps to proper pricing

What do you want to charge for your services?

Before I go into my whole process, take a mental note of what number came to mind.

Intuitively, I think we all have a number. Something that just feels right. We know what we want to charge but have 47 reasons why we can’t or won’t let ourselves do just that.

Whatever your number is, here are five practical ways you can justify charging what you want. Oh and the only person you have to justify your pricing to…is you.

1. Know Your Operating Costs (for life + biz)

When I started Her Business Boutique as a passion project back in 2014 I definitely wasn’t thinking like a business owner.

But now that I’m in my third year of bizniz and this is my sole source of income it feels like a no DUH moment to get clear on the numbers, like how much do I need to charge to really make this a viable endeavor.

Don’t start with an arbitrary number like 6 figures. If you have an Anthropologie habit you may need to make more (you totally will). Really do the math for YOUR life and start with what you need to make first.

What do you spend in a typical month? Start there and make sure to include all personal expenses, business expenses plus setting aside money for taxes and time off.

Once you have that number, think about how many clients you can reasonably work with at any given time or how many units you would need to sell to hit that number each quarter.

Side note: This is the exact tool I use to map out my lifestyle & business costs. It’s free if you want to grab it now.

Click Here For The FREE Lifestyle & Biz Calculator

Example: Sam is a health coach and needs to make 60k a year. She wants to take summers off to be with her kids so her goal is 20k per quarter. She can work with 10 clients max in her 90 day program so knows it’s time to double her current pricing from 1k to 2k. Only problem is she can’t fathom doubling her pricing

2. Go Forth & Find Proof

You’ve decided you’re going to charge X. If your new price is 2k don’t talk to your colleague who charges $75 dollars an hour and is strugggglin. NO NO NO! You’ve got to find people who are charging at least your new price or MORE.

Be really mindful of who you surround yourself with and the people you go to for “business advice”. I don’t ask for advice from my friends who are 9-5ers about my business anymore. They don’t get it.

I don’t even talk about my online business to people who don’t operate an online biz because most people don’t get this either! Find 3 people who do what you do and are successfully charging your new rate and at least one person who charges double. And then move on to step three.

3. Do What They Do

You know what you need to charge to make your biz work. You’ve even found proof that others are doing this exact thing.

So when your brain wants to scream IT’S NOT POSSIBLE NO ONE WIL PAAAAAY, you know it’s a lie. And you’ve got proof to prove it 😉  

Now it’s time to do some detective work and objectively look at what those business are doing that you’re not.

What would you need to change or who do you need to be in order to make that level of pricing an actuality in your biz?

Do you need stronger testimonials? Professional photos? Endorsements by local press/media? Make a list of what actions you can take to elevate your biz and schedule it into your calendar each week.

4. Recondition Your Brain

We’re all conditioned by our pasts, society and who knows what else (robots) but the bottom line is if for years you’ve thought that x is TOO much or no one would pay that amount you’ll need to put some daily time into changing your mindset.

One way is to imagine charging double your new pricing until your current price feels like eh, no big deal. Another is to practice saying your pricing as casually as you’d say “pass the salt, please’.

Oh and affirmations totally work. When you really feel it as you say it as if it were/is already true.

Here’s one I love that I wrote with dry erase on my bathroom mirror.

“I am creating a new script with money. Thanks, money, for changing your experience with me. I am ready for more.”

5. Own Your Worth

If you write out all the experience, training, certificates, time and money you’ve put into your craft and business I’m pretty sure you’d have zero problem with charging what you want. When I did this exercise, I saw that I’d invested over 100k and had decades of experience to bring to my lucky clients.

Grab a pen and paper and add up every piece of experience you bring to the table (even books you’ve read).

Make sure to include the money you’ve invested next to each item.

Write down the life changing results your clients get from working with you. As service providers we’re doing transformational work no matter what you’re selling. Being of service is that deep. Dig for the gem your clients get in working with you and own it.

Want my handy dandy tool to figuring out how much you need to make for your biz to be profitable and your lifestyle super sweet?

Click Here For The FREE Lifestyle & Biz Calculator

Do you struggle with pricing your services or increasing your rates?

Would love to hear your thoughts in the comments below!

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16 Comments

  1. Love this, Carla! ALL of it. It’s so true, the only person who you need to justify your pricing to, is you. I often undercharge and know that I should charge more… others who do exactly what I do or even offer less are charging more, so why can’t I? I think it helps me to add an extra little value to my offering or service, even if it’s an extra consulting call or email support each month. I know that I’m worth it regardless, I just need to bite the bullet sometimes and put the right price tags on things. Thanks for the extra motivation! 🙂

    1. I think all of us business owners can relate, jessie! Pricing is so personal…but the longer I’m in business the more I see the value and worth behind what I do so it’s getting easier to charge what feels right for me. Knowing that it will continue to change! Your work is awesome so I’m glad you’re charging accordingly.

      Thanks for the comment!

  2. I love this! Great reminder to write down how much time and money I’ve spent developing my craft and knowledge base. I’m worth so much! Plus being selective about peers is super important. Elevate your surroundings and elevate your life!

  3. I love all of these tips Carla! The combination of the practical steps and the mindset shifts we need to take as business owners is truly the key to setting prices for our services that align with our values. I’ll keep all of these tips in mind the next time I increase my rates!

  4. I love this! Great reminder to write down how much time and money I’ve spent developing my craft and knowledge base. I’m worth so much! Plus being selective about peers is super important. Elevate your surroundings and elevate your life! Yes!

    1. Yassss!! Glad to have you as a fellow online biz owner and friend! Your life and business goals inspire me all the time! Elevatation!!

  5. This post hit me at just the right moment! Increasing my rates is super scary but you’re so right — when you’re all-in you HAVE to get real about what it takes to support your lifestyle. Getting into nitty gritty numbers helps a ton to see what needs to happen.

    Luckily I’ve got #2 in spades! …with you being one of the boss ladies who’s pushing me to that next level, obvs. 🙂

    1. Right!? Looking at my numbers has been a really great wake up call!

      We’re so lucky to do the work we do…unlimited opportunities to be of service and unlimited earning potential all in one.

      Being a ladyboss is a dream come true! 🙂

  6. Amazing post! Thanks so much for sharing this. Upleveling pricing, or even starting for the first time, can feel like such a shot in the dark. I love the idea of finding people who are charging what you want – AND MORE!

    One of my favorite people to follow for amazing pricing inspiration is Gina De Vee – who charges $48,000 for her highest level program. Per person!

    Anything is possible if you believe in yourself, and believe you can help your clients or customers achieve real transformation.

    1. Yeah…gina is a great example of pricing confidence! So much of pricing does come down to confidence. With experience, my confidence grows and upleveling my pricing becomes a natural extension of that combo of experience, client results and confidence.

      Thanks for the comment, Jessica!

  7. Carla! This is pure magic. Even though I’m working on this it’s definitely something I struggle with. Mainly step 1…haha! Oh man, guess I need to start over. haha. But really…I always have a random number but it’s not justified or calculated. For example, I know I would LIKE an anthro habit. But will I ever be able to really afford one? Guess I need to hammer it out.

    Thanks for the great post. Can’t wait to hear more!

    1. thanks for the comment libby! i love your site!!

      i have no doubt we’ll both fund our anthro habits AND so much more :p

      c xo

  8. Kia ora Carla, A timely blog post and email!

    I recently did my first training session and totally miscalculated (or rather got carried away with the size) the cost of copying workbooks for the attendees.

    My business is very new and I am giving myself two years to leave my current employment and be in my business fulltime – well fulltime around two school-age girls and wanting to spend school holidays with them.

    Really enjoy reading your blog but my next step is taking what I have read and applying it!

    Thanks again for your great information.

    Nga mihi
    Sherie

    1. i LOVE hearing from you sherie!!

      my first local workshop i did the exact same thing… promised to supply everything and didn’t clearly account for the cost involved (for both time and materials). all part of the learning curve 😉

      great that you’re giving yourself a couple of years to get your business to full-time. setting aside even 20 minutes to map out what you need to make in order to go full time is going to be super valuable and give your biz a solid foundation.

      thanks for the comment!
      c xo

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