Rates and Billing Discuss setting rates and share billing resources and information for your virtual assistant business.
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    #46 (permalink)  
Old 03-16-2008
moretime_cassi's Avatar
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Company name: More Time Virtual Assistance, LLC
 
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Default Re: What is your minimum rate?
It's slightly disaopointing that so many of the $ amounts have been removed from this thread. I understand why (to an extent), but it would have been nice to see all this information in one place.

What do you all think is the best way to get an idea of what different VAs charge? I've tried surfing the net and picking up rate information from different VAs' sites, but it seems that many are charging very low rates and prices are all over the place on the scale (I've seen anywhere from $20/hr to $55/hr)...

Thanks.
    #47 (permalink)  
Old 03-16-2008
Tess's Avatar
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Default Re: What is your minimum rate?
I'm sure it's clear that the reason this information is edited is because it is essentially illegal to discuss rates openly in the way this thread's conversation does (it's called price fixing and is illegal even if it's accidental)
I have no intention of leaving this site or it's membership open to reproach or liable for the content.

Bear in mind, your rates should reflect your own experience, services, the quality of the product you are providing, etc. and really have nothing to do with what anyone else is charging.

The vast difference in rates is reflective of the vast difference in skills, service offerings, length of time/experience, etc. - which makes perfect sense. In any industry there are variations in price based on any number of factors.
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    #48 (permalink)  
Old 03-16-2008
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Default Re: What is your minimum rate?
It's important to remember that VAs are operating their own businesses. As sole proprietors or any variation thereof, we're expected to do the market research required of any business, partly for the purpose of setting our rates. It's not hard to find out what other VAs are charging .... just look at a few of their websites.
The point I'm trying to make is that part of having your own business is setting and standing behind your fees, knowing your offerings and workling fairly with the market. If you're not prepared to confidently defend your fee schedule, you may not be ready to go into business for yourself.
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    #49 (permalink)  
Old 03-17-2008
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Default Re: What is your minimum rate?
Actually I'm going to raise the point that it's not price fixing for several reasons. We are not colluding. We are not working towards setting a standard price - that wouldn't even work if we wanted to because of the wide variation on the cost of living amongst each country and even amongst states in various countries, plus the difference in currencies, experience, background, skillsets and so on.

This information is taken from another forum in 2003 on the same topic (some discussions don't change)

[Quote] Price fixing occurs when two or more competitors agree to fix the
prices that they will charge; defined as establishing the price of a
product or service, rather than allowing it to be determined naturally
through free market forces. Other definitions explain price fixing as
a conspiracy by retailers, wholesalers and manufacturers to fix
prices, a method of stifling competition or taking advantage of customers.

I was able to find quit a bit of informational reading on the Internet
through searching "price fixing." Several interesting articles:

Price Fixing In Plain Sight - By Russell Verney
http://www.judicialwatch.org/printer_1302.shtml

and

What's Wrong with Price Fixing: Responding to the New Critics of
Antitrust - Michael E. DeBow

http://www.cato.org/pubs/regulation/...2n2-debow.html

Our discussion about pricing is to allow the home-based worker a place
to discover what others charge for their services. Those who are
interested in this discussion are often those who need help in
discovering what to charge as they start their home-based business.

As you will notice by our recent poll (per page pricing for word
processing), there is a large range of prices being charged. Because
each of our group members work independently, and prices are given
voluntarily, the discussion is clearly not a conspiracy or an attempt
to fix prices, but a means of allowing viewing secretaries a place to
begin their consideration when pricing their services. [end quote]

However, some VA forums have elected not to discuss pricing since the majority of members are in the US and the previous Wiki link indicates that discussions could contravene additional laws they have in place relating to these discussions. Please note though, that the quote above came from a US forum and it's possible that things have changed since that time.

I encourage all VAs I speak to/chat with to look at what their planned annual income should be. If you were working fulltime before you started your business, what was your annual income at that stage? Do you want to earn more and if so, do you believe you are worth more? This is the figure you need to look at and then work backwards, allowing for time off (leave, weekends, sickleave, public holidays, etc) and also making sure you add expenses to your hourly rate thereafter, such as printing, postage, etc.

It's possible you might be able to aim for a lower annual income if previous expenses no longer occur, such as childcare, travel, petrol, parking, etc.

No-one should be basing their rates on what others are charging - you could be under-pricing or over-pricing yourself. You can't compare yourself with another unless you have exactly the same skillset and background experience as another. However, I can appreciate and understand why others want to know what to charge or at least have some idea if they are in the right ballpark.
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    #50 (permalink)  
Old 03-17-2008
Tess's Avatar
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Default Re: What is your minimum rate?
Regardless of anyone's interpretation of the law rates are still not up for overt discussion on this site. As long as I'm the person liable for the content of these pages I will continue to ask my editors to remove direct mention of rates.

There are so many great tools, resources, and ideas mentioned on the forums to help VAs at any level of business development determine appropriate rates - I think we've said about all we can on the topic so I'm going to go ahead and close this thread.
Thanks to everyone who's shared their info and taken the time to add their own perspective
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