How are you paid?

Are you paid for the job, the outcome or do you start the clock clicking and charge by the hour or day?

Let me share with you why you might want to reconsider hourly or daily billing.

Last year we had a new kitchen fitted at home and Claire was thrilled with the outcome after all, she has waited 15 years for a new kitchen. Shame on you Mr Archer.

The kitchen was quoted as a total figure plus the VAT. We knew the outcome clearly as the graphics programme had produced pictures of extreme clarity of what the kitchen would look like afterwards. And it turned out exactly the way they said. We paid the bill and are extremely happy.

Compare that with hourly or daily billing.

10 years’ ago we started a large extension to our home and ended up paying our builder on a daily basis. It was stressful and more worryingly took two years to complete. Lots of factors caused that but the daily billing, I’m sure had something to do with it.

And the outcome? Not brilliant, lots of niggles and snags which we had to pay “extras” to have fixed.

So to you? If you currently charge by the day or hour, is this ethical on your part. Can you:

  • Show clearly what the outcome will be i.e. what the objective of the client is.
  • Charge a fee for the outcome to be completed. You could have two or three fees for different options – you know – option A, B or C.

Believe me, that’s the most professional way to work. And my wife is she contented now? No, she wants a new bathroom, but at least I know how to employ builders in the future.