Outsourcing: Hourly Vs Fixed Rate?

Vanquish · 10-07-2009, 03:53 PM

Which do you use when outsourcing (hourly or fixed rate) and which is better and why?

Thank You

Ankesh Kothari · 10-07-2009, 04:05 PM

Depends on the task actually.

For writing: I pay per article or blog post.
For designing: I pay per design.
For coding: small projects = fixed rate. Big projects = hourly or monthly.
For marketing: fixed monthly rate. With bonuses. (But procedures are mine.)
For legal: hourly.

Tom Brite · 10-07-2009, 04:17 PM

I only go full time or part time if im trying someone new out to add to the mix.

But then a lil bit of work with them and they are all good!

It really depends on what level your at and how much you can invest.

Tom Brite

trapp120 · 10-07-2009, 05:43 PM

Fixed price, every time. Paying hourly opens you to overage and you should try to limit as many rolling variables as possible.

Wouldn't you rather know a design is going to cost you $75 flat with multiple revisions instead of $55/hr for a max of 3 hours? If you have the ability, always try to negotiate a flat fee that encompasses the entire project/service including any overrun.

Vanquish · 10-12-2009, 02:57 PM

How much do you guys pay for your back linking services? And do you pay hourly or fixed rate?

DAS_Matt · 10-12-2009, 03:35 PM

Quote:

Originally Posted by trapp120

Fixed price, every time. Paying hourly opens you to overage and you should try to limit as many rolling variables as possible.

Wouldn't you rather know a design is going to cost you $75 flat with multiple revisions instead of $55/hr for a max of 3 hours? If you have the ability, always try to negotiate a flat fee that encompasses the entire project/service including any overrun.

Agree 100% Hourly leaves WAY too much possibility for spending more than you want or need to.

HomeComputerGames · 10-12-2009, 03:37 PM

ad hoc is the way to go. The only person I ever hire hourly is customer support or my lawyer.

AceHazel · 10-12-2009, 09:29 PM

It depends on the work, but most of the time fixed rate is much considered by the outsourcer, could be monthly rate.

sanjid112 · 10-12-2009, 09:35 PM

I prefer fixed rate. Like the others, hourly give me some craps, because it make me pay more than I should.

Esp. when you have limited budget, fixed rate can help you save the money for other stuff, like building traffic and advertising.

melanied · 10-12-2009, 09:35 PM

My main VA is paid hourly, for pretty much everything else it's per project or per piece of work.

10-07-2009, 03:53 PM	#1
Vanquish HyperActive Warrior War Room Member Join Date: Dec 2008 Location: Toronto Posts: 416 Thanks: 83 Thanked 22 Times in 16 Posts	Outsourcing: Hourly Vs Fixed Rate? Which do you use when outsourcing (hourly or fixed rate) and which is better and why? Thank You

10-07-2009, 04:05 PM	#2
Ankesh Kothari HyperActive Warrior War Room Member Join Date: Apr 2003 Location: Mumbai, India. Posts: 359 Thanks: 2 Thanked 4 Times in 4 Posts Social Networking Contact Info	Re: Outsourcing: Hourly Vs Fixed Rate? Depends on the task actually. For writing: I pay per article or blog post. For designing: I pay per design. For coding: small projects = fixed rate. Big projects = hourly or monthly. For marketing: fixed monthly rate. With bonuses. (But procedures are mine.) For legal: hourly.
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10-07-2009, 04:17 PM	#3
Tom Brite Banned War Room Member Join Date: Apr 2009 Location: UK and France Posts: 1,127 Thanks: 267 Thanked 189 Times in 100 Posts Social Networking Contact Info	Re: Outsourcing: Hourly Vs Fixed Rate? I only go full time or part time if im trying someone new out to add to the mix. But then a lil bit of work with them and they are all good! It really depends on what level your at and how much you can invest. Tom Brite

10-07-2009, 05:43 PM	#4
trapp120 Active Warrior Join Date: Oct 2009 Location: Vancouver, WA Posts: 54 Thanks: 1 Thanked 6 Times in 6 Posts	Re: Outsourcing: Hourly Vs Fixed Rate? Fixed price, every time. Paying hourly opens you to overage and you should try to limit as many rolling variables as possible. Wouldn't you rather know a design is going to cost you $75 flat with multiple revisions instead of $55/hr for a max of 3 hours? If you have the ability, always try to negotiate a flat fee that encompasses the entire project/service including any overrun.

10-12-2009, 02:57 PM	#5
Vanquish HyperActive Warrior War Room Member Join Date: Dec 2008 Location: Toronto Posts: 416 Thanks: 83 Thanked 22 Times in 16 Posts	Re: Outsourcing: Hourly Vs Fixed Rate? How much do you guys pay for your back linking services? And do you pay hourly or fixed rate?

10-12-2009, 03:37 PM	#7
HomeComputerGames HyperActive Warrior War Room Member Join Date: Jun 2009 Location: Chesterton, IN Posts: 289 Thanks: 6 Thanked 39 Times in 35 Posts	Re: Outsourcing: Hourly Vs Fixed Rate? ad hoc is the way to go. The only person I ever hire hourly is customer support or my lawyer.
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10-12-2009, 09:29 PM	#8
AceHazel HyperActive Warrior Join Date: Sep 2009 Posts: 124 Thanks: 1 Thanked 16 Times in 16 Posts	Re: Outsourcing: Hourly Vs Fixed Rate? It depends on the work, but most of the time fixed rate is much considered by the outsourcer, could be monthly rate.

10-12-2009, 09:35 PM	#9
sanjid112 Malik War Room Member Join Date: Oct 2009 Posts: 224 Thanks: 7 Thanked 25 Times in 24 Posts	Re: Outsourcing: Hourly Vs Fixed Rate? I prefer fixed rate. Like the others, hourly give me some craps, because it make me pay more than I should. Esp. when you have limited budget, fixed rate can help you save the money for other stuff, like building traffic and advertising.

10-12-2009, 09:35 PM	#10
melanied NicheChick.com War Room Member Join Date: May 2007 Location: Los Angeles, CA Posts: 960 Thanks: 38 Thanked 88 Times in 45 Posts Social Networking Contact Info	Re: Outsourcing: Hourly Vs Fixed Rate? My main VA is paid hourly, for pretty much everything else it's per project or per piece of work.
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