Consulting or agency · 14 min
Selling hours
When you consult, your time is the product. How you price it, write it down and get paid for it decides whether a good month adds up to a good year.
Your business
Pick the business you'll run
Each lesson uses your pick for its numbers. You can change it any time.
Pick a business to start.
Sources and every number (13 sources)
Sources
- Nonemployer Statistics 2023 datasets: United States file nonemp23us (NAICS 5416, Management, Scientific, and Technical Consulting Services, by receipts size class) · U.S. Census Bureau, 2023
- Occupational Outlook Handbook: Management Analysts (pay: median wage, May 2025; work environment: jobs and self-employed share, 2025) · U.S. Bureau of Labor Statistics, 2025
- CRA International, Inc. Form 10-K for the fiscal year ended January 3, 2026 (fiscal 2025) · CRA International, Inc. (filed with the U.S. SEC), 2025
- Occupational Outlook Handbook: Web Developers and Digital Designers (pay: median wage, May 2025) · U.S. Bureau of Labor Statistics, 2025
- Occupational Outlook Handbook: Market Research Analysts (pay: median wage, May 2025) · U.S. Bureau of Labor Statistics, 2025
- Occupational Outlook Handbook: Graphic Designers (pay: median wage, May 2025) · U.S. Bureau of Labor Statistics, 2025
- Self-Employment Tax (Social Security and Medicare Taxes) · Internal Revenue Service, 2026
- New York General Business Law section 1410: Definitions (freelance worker) · New York State Senate, 2026
- New York General Business Law section 1411: Contracted compensation payments · New York State Senate, 2026
- Estimated taxes · Internal Revenue Service, 2026
- Instructions for Forms 1099-MISC and 1099-NEC (Rev. December 2026) · Internal Revenue Service, 2026
- Huron Consulting Group Inc. Form 10-K for the fiscal year ended December 31, 2025 · Huron Consulting Group Inc. (filed with the U.S. SEC), 2025
- New York General Business Law section 1412: Written contracts · New York State Senate, 2026
Every number
- 1.1 million
census.gov ·2023 · US consulting businesses with no employees (management, scientific and technical consulting), 2023. - $59,836
census.gov ·2023 · Worked out: what those businesses took in during 2023, divided by how many there were. - 59.1%
census.gov ·2023 · Worked out: the share of those businesses that took in less than the next number in 2023. - $25,000
census.gov ·2023 · One of the Census's lines for grouping businesses by what they took in. - 14.2%
census.gov ·2023 · Worked out: the share of those businesses that took in at least the next number in 2023. - $100,000
census.gov ·2023 · One of the Census's lines for grouping businesses by what they took in. - $101,860/year
bls.gov ·2025 · Median yearly pay for management analysts, all industries, May 2025. - 14%
bls.gov ·2025 · Share of management analysts' jobs held by self-employed workers, 2025. - 17%
sec.gov ·2025 · CRA International, fiscal 2025: revenue from fixed-price work as a share of revenue. - 83%
sec.gov ·2025 · CRA International, fiscal 2025: revenue billed by the hour (time and materials) as a share of revenue. - 12 hours
(example number: Simplified example: the bakery survey proposal: manager interviews.) · Simplified example: the bakery survey proposal: manager interviews. - 10 hours
(example number: Simplified example: the bakery survey proposal: writing and running the customer survey.) · Simplified example: the bakery survey proposal: writing and running the customer survey. - 14 hours
(example number: Simplified example: the bakery survey proposal: making sense of the answers.) · Simplified example: the bakery survey proposal: making sense of the answers. - 8 hours
(example number: Simplified example: the bakery survey proposal: the report and the presentation.) · Simplified example: the bakery survey proposal: the report and the presentation. - 44 hours
(example number: Simplified example: the bakery survey proposal: the hours estimated, added up.) · Simplified example: the bakery survey proposal: the hours estimated, added up. - $150/hour
(example number: Simplified example: the bakery survey proposal: your hourly rate.) · Simplified example: the bakery survey proposal: your hourly rate. - $6,600
(example number: Simplified example: the bakery survey proposal: worked out, hours times the rate.) · Simplified example: the bakery survey proposal: worked out, hours times the rate. - 15%
(example number: Simplified example: extra added to the estimate for surprises.) · Simplified example: extra added to the estimate for surprises. - $990
(example number: Simplified example: the bakery survey proposal: worked out, the buffer share of the estimate.) · Simplified example: the bakery survey proposal: worked out, the buffer share of the estimate. - $7,590
(example number: Simplified example: the bakery survey proposal: worked out, the estimate plus the buffer.) · Simplified example: the bakery survey proposal: worked out, the estimate plus the buffer. - 50%
(example number: Simplified example: the share of the fee paid before work starts.) · Simplified example: the share of the fee paid before work starts. - $3,795
(example number: Simplified example: the bakery survey proposal: worked out, the deposit share of the fixed fee.) · Simplified example: the bakery survey proposal: worked out, the deposit share of the fixed fee. - 4 hours
(example number: Simplified example: the dentist's logo and website proposal: a call and a written brief.) · Simplified example: the dentist's logo and website proposal: a call and a written brief. - 12 hours
(example number: Simplified example: the dentist's logo and website proposal: logo ideas.) · Simplified example: the dentist's logo and website proposal: logo ideas. - 6 hours
(example number: Simplified example: the dentist's logo and website proposal: two rounds of changes.) · Simplified example: the dentist's logo and website proposal: two rounds of changes. - 20 hours
(example number: Simplified example: the dentist's logo and website proposal: designing and building the pages.) · Simplified example: the dentist's logo and website proposal: designing and building the pages. - 42 hours
(example number: Simplified example: the dentist's logo and website proposal: the hours estimated, added up.) · Simplified example: the dentist's logo and website proposal: the hours estimated, added up. - $100/hour
(example number: Simplified example: the dentist's logo and website proposal: your studio's hourly rate.) · Simplified example: the dentist's logo and website proposal: your studio's hourly rate. - $4,200
(example number: Simplified example: the dentist's logo and website proposal: worked out, hours times the rate.) · Simplified example: the dentist's logo and website proposal: worked out, hours times the rate. - $630
(example number: Simplified example: the dentist's logo and website proposal: worked out, the buffer share of the estimate.) · Simplified example: the dentist's logo and website proposal: worked out, the buffer share of the estimate. - $4,830
(example number: Simplified example: the dentist's logo and website proposal: worked out, the estimate plus the buffer.) · Simplified example: the dentist's logo and website proposal: worked out, the estimate plus the buffer. - $2,415
(example number: Simplified example: the dentist's logo and website proposal: worked out, half the fixed fee.) · Simplified example: the dentist's logo and website proposal: worked out, half the fixed fee. - 12 hours
(example number: Simplified example: the warehouse plan proposal: the partner's hours.) · Simplified example: the warehouse plan proposal: the partner's hours. - $300/hour
(example number: Simplified example: the warehouse plan proposal: the partner's hourly rate.) · Simplified example: the warehouse plan proposal: the partner's hourly rate. - $3,600
(example number: Simplified example: the warehouse plan proposal: worked out, hours times the rate.) · Simplified example: the warehouse plan proposal: worked out, hours times the rate. - 40 hours
(example number: Simplified example: the warehouse plan proposal: the senior consultant's hours.) · Simplified example: the warehouse plan proposal: the senior consultant's hours. - $180/hour
(example number: Simplified example: the warehouse plan proposal: the senior consultant's hourly rate.) · Simplified example: the warehouse plan proposal: the senior consultant's hourly rate. - $7,200
(example number: Simplified example: the warehouse plan proposal: worked out, hours times the rate.) · Simplified example: the warehouse plan proposal: worked out, hours times the rate. - 80 hours
(example number: Simplified example: the warehouse plan proposal: the analyst's hours.) · Simplified example: the warehouse plan proposal: the analyst's hours. - $110/hour
(example number: Simplified example: the warehouse plan proposal: the analyst's hourly rate.) · Simplified example: the warehouse plan proposal: the analyst's hourly rate. - $8,800
(example number: Simplified example: the warehouse plan proposal: worked out, hours times the rate.) · Simplified example: the warehouse plan proposal: worked out, hours times the rate. - $19,600
(example number: Simplified example: the warehouse plan proposal: worked out, the three people added up.) · Simplified example: the warehouse plan proposal: worked out, the three people added up. - $2,940
(example number: Simplified example: the warehouse plan proposal: worked out, the buffer share of the estimate.) · Simplified example: the warehouse plan proposal: worked out, the buffer share of the estimate. - $22,540
(example number: Simplified example: the warehouse plan proposal: worked out, the estimate plus the buffer.) · Simplified example: the warehouse plan proposal: worked out, the estimate plus the buffer. - 30%
(example number: Simplified example: a firm's deposit on a bigger project.) · Simplified example: a firm's deposit on a bigger project. - $6,762
(example number: Simplified example: the warehouse plan proposal: worked out, the deposit share of the fixed fee.) · Simplified example: the warehouse plan proposal: worked out, the deposit share of the fixed fee. - 62 hours
(example number: Simplified example: the bakery survey proposal: the hours it really took, after the extra survey rounds.) · Simplified example: the bakery survey proposal: the hours it really took, after the extra survey rounds. - $122.42
(example number: Worked out: the fixed fee divided by the hours it really took.) · Worked out: the fixed fee divided by the hours it really took. - 6.6 hours
(example number: Worked out: the buffer divided by the hourly rate.) · Worked out: the buffer divided by the hourly rate. - 55 hours
(example number: Simplified example: the dentist's logo and website proposal: the hours it really took, after a third round of logo changes and two extra pages.) · Simplified example: the dentist's logo and website proposal: the hours it really took, after a third round of logo changes and two extra pages. - $87.82
(example number: Worked out: the studio's fixed fee divided by the hours it really took.) · Worked out: the studio's fixed fee divided by the hours it really took. - 6.3 hours
(example number: Worked out: the studio's buffer divided by its hourly rate.) · Worked out: the studio's buffer divided by its hourly rate. - 160 hours
(example number: Simplified example: the warehouse plan proposal: the team's hours it really took, after the client added a second warehouse.) · Simplified example: the warehouse plan proposal: the team's hours it really took, after the client added a second warehouse. - 132 hours
(example number: Simplified example: the warehouse plan proposal: the team's hours estimated, added up.) · Simplified example: the warehouse plan proposal: the team's hours estimated, added up. - $148.48
(example number: Worked out: the firm's estimate divided by the team's estimated hours, an average across the partner, senior consultant and analyst.) · Worked out: the firm's estimate divided by the team's estimated hours, an average across the partner, senior consultant and analyst. - $140.88
(example number: Worked out: the firm's fixed fee divided by the team's hours it really took.) · Worked out: the firm's fixed fee divided by the team's hours it really took. - 19.8 hours
(example number: Worked out: the firm's buffer divided by its planned average rate.) · Worked out: the firm's buffer divided by its planned average rate. - $48.97/hour
bls.gov ·2025 · Median hourly pay for management analysts, all industries, May 2025. - $50.00/hour
bls.gov ·2025 · Median hourly pay for web and digital interface designers, all industries, May 2025. Worked out: the yearly median divided by a full-time year of hours, as the Bureau of Labor Statistics does. - $37.87/hour
bls.gov ·2025 · Median hourly pay for market research analysts and marketing specialists, all industries, May 2025. - $30.27/hour
bls.gov ·2025 · Median hourly pay for graphic designers, all industries, May 2025. - 15.3%
irs.gov ·2026 · The self-employment tax rate: Social Security and Medicare for people who work for themselves. - 12.4%
irs.gov ·2026 · The Social Security part of self-employment tax. - 2.9%
irs.gov ·2026 · The Medicare part of self-employment tax. - $800
nysenate.gov ·2026 · New York: the value of work (alone, or added up with the same client over the next number of days) at which its freelance law applies. - 120 days
nysenate.gov ·2026 · New York: the window for adding up work for the same client. - 30 days
nysenate.gov ·2026 · New York: with no payment date in the contract, the most days after the work is finished before payment is due. - $1,000
irs.gov ·2026 · Expect to owe at least this much tax for the year, and you generally pay estimated tax during the year.