Hi there, I set myself up as a self employed bookkeeper about 8 months ago currently charging between £10-£15/hour depending on the type of work. I also want to add PA/admin work but am not sure what to charge - I have a client who would like me to take on this type of work as well as his bookkeeping. I was thinking £8/hour for the PA/admin stuff but am I selling myself short?
Dont forget you have to cover your insurance, tax, NI contributions, travel expenses, yr holiday allowance, business costs, advertising aka all outgoings so its not a typical admin rate. Hence a min £10ph.
Find out what they pay their temp agencies - if you are doing book keeping you have access to the purchase invoices but DO NOT sell yourself short or be a "busy fool".
THey are not paying your holiday, SSP, SMP, ERS Ni - therefore your rate has to include leeway for all of those. Bank holidays are unpaid INSET days are unpaid Child lurgy days are unpaid and you have to pay tax at 20% and Class 4 NI at 9% on your earnings as well as the class 2 NI
Well done for developing the client so much that they want more of you! Sounds like you are doing well after only 8 months, not everyone can say that.
I'd definitely look around at your competition for admin/PA work. The VA industry is a growing one, they probably charge more than you do, not less.
One I met at a networking event charges £25 an hour and only sells her time in 10 hour slots - I guess she has been learnt from experience that that works best. She is VERY proactive though at networking and getting involved with things that get her name out there. I am in London, so I guess that comes into it...but even so.
As others have said stick to your current price at the min. Has the client suggested your drop your rate? If it were me I would have assumed you'll be on the same rate, it is still you after all, you aren't going to be less effective/hard working, just doing something different.
Another way to look at it, if you work for them for £8, it means you cannot do £15 work for somebody else during that hour.