How to Raise Your Freelance Rates (And Tell Your Clients)
Your rate from two years ago was priced for who you were two years ago. If it has not moved since, you have been quietly giving clients a discount every year you have gotten better.
When to raise your rates
- You are consistently turning down work or have a waitlist. Supply and demand set a market-clearing price — yours is too low.
- You have gained skills, certifications, or portfolio work that meaningfully raises your value to clients in a specific category.
- Your costs have increased: software, taxes, health insurance, inflation. A rate that covered your costs eighteen months ago may not today.
- You have not raised rates in over a year. An annual review is table stakes — not doing one is a choice to accept a real pay cut.
How much to raise, and when to apply it
For most freelancers, a 10 to 20 percent increase is defensible without a detailed explanation. More than 20 percent typically needs a positioning shift or a clear service upgrade to support it. The timing question has two separate answers depending on whether you are talking about new clients or existing ones.
- New clients: apply your new rate immediately to all new proposals and inquiries. You do not owe anyone your old rate because they have not heard it yet.
- Existing clients in active projects: honor the current rate for the duration of the active engagement, then apply the new rate on renewal.
- Existing clients between projects: give 30 to 60 days notice before the new rate applies to upcoming work. That notice is the email below.
The email to send existing clients
You do not need to justify a rate increase or apologize for it. A short, direct message outperforms a long explanation every time.
- Subject: Rate update — a heads up | Hi [Name], I wanted to give you advance notice that my rates are increasing to [new rate] effective [date]. Any projects or retainer renewals starting after that date will be at the new rate. Work we scope and start before [date] will be at the current rate. I have appreciated working together and look forward to continuing. Let me know if you have questions or want to get something scoped before the date.
Keep it under 150 words. No apology, no lengthy justification, no preamble about how much you value the relationship. Those additions weaken the message — they signal that you are not sure the increase is warranted.
When a client pushes back
- Do not negotiate on the rate itself. If the rate is no longer a fit, the honest conversation is about scope: can you offer a narrower version of the service at the old rate, with full service priced at the new one?
- Some clients will leave. That is usually the point. A rate increase that no clients push back on was probably not high enough. If one client leaves, you have freed up capacity that you can fill at the higher rate.
The compounding math of staying flat
A freelancer who raises rates 15 percent annually for five years earns roughly twice as much in year five for the same hours as in year one. A freelancer who holds rates flat for five years is earning less in real terms every single year. The clients who stay after a rate increase are almost always the best ones — the ones who valued your work enough to absorb the change.
Rate increases are not a negotiation. They are a business decision. Make them on a schedule, communicate them clearly, and move on.
HelmBill tracks your billable hours and turns them into invoices — so you always know your real rate.
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