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Determining Pricing for My First Solo Client: Seeking Advice

I’ve been subcontracting with CPAs and other Bookkeeping professionals, but I have no idea what they typically charge clients per hour. I’ve managed to acquire a few clients through Upwork and referrals, though these were often accepted at lower hourly rates to build experience and a portfolio. Now, as I’m making a more concerted effort to secure new clients, I want to pivot to a flat rate fee structure. For my first potential solo client, whose business only deals with one bank account and under 100 transactions, I’ve outlined the following pricing strategy per requested service. Do these fees seem reasonable? The client is a small S-Corp located on the East Coast, US, with only one employee — the owner — for payroll purposes.

$200 per month: Covers expense/income tracking and account reconciliation for up to 100 transactions per month. Occasional excess of transactions is acceptable, but if an average exceeds 100 for six months, pricing will be re-evaluated.
$25 per month: Includes preparation of income statement, balance sheet, and other reports on request.
$50 per month: Payroll services for up to three employees, with separate Gusto monthly service fees borne by the client.
$50 per year: For 1099 preparation and filing for up to 25 vendors/contractors, billed annually in February.
$25 per quarter: For estimated tax filing and payment, billed in April, July, October, and January.

I would greatly appreciate any advice or input. Thank you!
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Pricing Your First Solo Client: A Detailed Look

Pricing your services can be challenging, especially when transitioning from subcontracted work to handling your own clients independently. It’s great to see that you’re moving towards setting flat rate fees, which can provide clarity and stability for both you and your clients. Let’s break down your proposed pricing structure and consider whether it aligns with industry standards and client expectations.

Services Offered and Pricing Breakdown

Expense/Income Tracking and Account Reconciliation: $200/month
Scope: Tracking and reconciling up to 100 transactions per month.
Considerations:
- This fee seems reasonable for a small S-Corp with minimal transaction volume.
- Clearly stating your policy for reviewing pricing if transactions exceed the average is smart and sets expectations.
- Compare with the rates of local competitors; since you’re on the east coast, cost of living is higher, which might justify a higher rate if needed.
Financial Statement Preparation: $25/month
Scope: Preparation of income statement, balance sheet, and other requested reports.
Considerations:
- This seems to be a reasonable fee given the simplicity of the operation.
- Consider the time investment for preparing these reports and clarify if the fee is meant to cover basic or in-depth reporting.
Payroll Processing: $50/month
Scope: Payroll services for up to 3 employees, excluding Gusto service fees.
Considerations:
- Payroll can vary significantly in complexity; ensure your quoted fee compensates for the time and potential complications involved.
- Clarifying that the client covers Gusto fees is good; however, ensure they understand what that entails in terms of costs.
1099 Preparation and Filing: $50/year
Scope: For up to 25 vendors/contractors.
Considerations:
- This is a very competitive rate, potentially underpriced.
- Consider increasing this fee, especially if many contractors are involved, due to the time-sensitive and detail-oriented nature of 1099 processing.
Estimated Tax Filing & Payment: $25/quarter
Scope: Filing and payment of estimated taxes.
Considerations:
- This is a straightforward, fair fee if the process is streamlined and if the tax situation is uncomplicated.
- Ensure

One response

APAdmin

25 February 2025 at 7:55 PM
Pricing Your First Solo Client: A Detailed Look

Pricing your services can be challenging, especially when transitioning from subcontracted work to handling your own clients independently. It’s great to see that you’re moving towards setting flat rate fees, which can provide clarity and stability for both you and your clients. Let’s break down your proposed pricing structure and consider whether it aligns with industry standards and client expectations.

Services Offered and Pricing Breakdown
1. Expense/Income Tracking and Account Reconciliation: $200/month
2. Scope: Tracking and reconciling up to 100 transactions per month.
3. Considerations:
  - This fee seems reasonable for a small S-Corp with minimal transaction volume.
  - Clearly stating your policy for reviewing pricing if transactions exceed the average is smart and sets expectations.
  - Compare with the rates of local competitors; since you’re on the east coast, cost of living is higher, which might justify a higher rate if needed.
4. Financial Statement Preparation: $25/month
5. Scope: Preparation of income statement, balance sheet, and other requested reports.
6. Considerations:
  - This seems to be a reasonable fee given the simplicity of the operation.
  - Consider the time investment for preparing these reports and clarify if the fee is meant to cover basic or in-depth reporting.
7. Payroll Processing: $50/month
8. Scope: Payroll services for up to 3 employees, excluding Gusto service fees.
9. Considerations:
  - Payroll can vary significantly in complexity; ensure your quoted fee compensates for the time and potential complications involved.
  - Clarifying that the client covers Gusto fees is good; however, ensure they understand what that entails in terms of costs.
10. 1099 Preparation and Filing: $50/year
11. Scope: For up to 25 vendors/contractors.
12. Considerations:
  - This is a very competitive rate, potentially underpriced.
  - Consider increasing this fee, especially if many contractors are involved, due to the time-sensitive and detail-oriented nature of 1099 processing.
13. Estimated Tax Filing & Payment: $25/quarter
14. Scope: Filing and payment of estimated taxes.
15. Considerations:
  - This is a straightforward, fair fee if the process is streamlined and if the tax situation is uncomplicated.
  - Ensure
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Determining Pricing for My First Solo Client: Seeking Advice

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Pricing Your First Solo Client: A Detailed Look

Services Offered and Pricing Breakdown

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