Mercury State

August 30, 2006

Why Hourly

In response to posts on SVN and 1099, my response is charging hourly is a clear first choice for design and development — while not a perfect fit for all projects. If the client is not quite sure what they want — which is the case with too many projects —, then how can anyone know what to charge as a project? Reducing the number of option from infinity to a select few may help the quoting process, but the final outcome will be defined as the project progresses. Charging hourly is the best fit here; as the project progresses and changes, the client is billed for the only measurable item available — the time it took to get from start to the current point.

I have also discovered that changes and additions have less political impact. What does this mean? Well, if the client wants some changed/added the person doing it can determine the impact and take action accordingly with worrying about budget adjustments. This is the upside. The downside is that it typically allows the client to make more changes, more often without considering impact on the project and budget as a whole.

There will always be a debate regarding which is better, charging hourly or per project; and the reason is clear — both work. In my experience, hourly is the better default option.

3 Comments:

Blogger d r e w said...

I think workers should get paid per heart beat not per hour. That way highly stressful jobs would pay more.

Yeah, so I'm a dreamer. I'm not the only one.

1:17 PM, August 30, 2006
Blogger Merc said...

Your idea would be an invasion of privacy... somehow, I am sure. The pay rate should go up if you are dealing with idiots — even more so than stress.

1:26 PM, August 30, 2006
Blogger amu311bd said...

Dude, if companies paid their employees by heart beats and idiots, I'd be rich...it'd be steak dinners for everyone...or some other expensive dish.

5:58 PM, August 30, 2006

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