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.

Ken Durham · 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 Karl Thomas War Room Member Join Date: Dec 2008 Location: Toronto Posts: 754 Thanks: 170 Thanked 69 Times in 54 Posts Contact Info	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: 1,103 Thanks: 261 Thanked 188 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: 52 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 Karl Thomas War Room Member Join Date: Dec 2008 Location: Toronto Posts: 754 Thanks: 170 Thanked 69 Times in 54 Posts Contact Info	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
Ken Durham Advanced Warrior War Room Member Join Date: Jun 2009 Location: Chesterton, IN Posts: 923 Thanks: 129 Thanked 193 Times in 153 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.
	Webmaster Services List Your Wealth Building Systems and Services for Free Insanity is doing the same thing over and over and expecting a different result ~ Einstein Insanity is doing the same thing over and over and never getting the same results ~ Ken

10-12-2009, 09:29 PM	#8
AceHazel HyperActive Warrior Join Date: Sep 2009 Posts: 120 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 Banned War Room Member Join Date: Oct 2009 Posts: 183 Thanks: 4 Thanked 21 Times in 19 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: 1,031 Thanks: 43 Thanked 100 Times in 53 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.