Sick of tracking every 15-minute increment of your life and every little turn of projects you manage? Honestly, same! But don’t worry, you can avoid at least part of these and related pains with project-based pricing.
Project-based pricing is how freelancers, creatives, and service providers finally escape the hourly trap and get to charge a fixed price for the work they do, not the time they spend doing it. At least in the classic rendition of project-based pricing model.
In this guide, we’ll break down exactly what a project based pricing strategy is, when to use it (and when not to), how to set it up, and why it might just be the smartest pricing shift you’ll ever make.
Article highlights
If you were to take a few highlights from this article, let it be these ones:
✨ Project-based pricing = fixed fee for defined deliverables — you charge for what you do, not how long it takes to complete it. It’s about value and outcomes. Like charging $1000 per each 5k-word article as a copywriter or selling $500 logo designs every time, no matter the client or how long it takes to complete each piece of work.
✨ Project-based pricing model works best when your scope is tight and your process is structured — clear offers, strong boundaries, and the ability to say “no” are what make project-based pricing structure profitable. Don’t be afraid to use it when you know your offer well, know how many hours it takes you to complete certain projects, and how best you can cut it into a fixed price offer.
✨ Project-based or fixed price doesn’t have to be a one-size-fits-all — you can do flat fees, charging per milestones, create hourly project packages, use value-based pricing, and more, depending on the project/client and your confidence level.
✨ Don’t use project-based pricing model blindly — if your scope is vague, timelines unpredictable, or clients want “access” to every bit of the project, project pricing might backfire. Know when to use it.
What is Project-Based Pricing?
Project-based pricing is when you charge a flat fee for a defined scope of work, regardless of how long it takes you to complete it.
It focuses on deliverables and outcomes rather than time spent on a given piece of work. However, that’s not to say charging using hours is completely forbidden — it can be mixed with a project-based pricing strategy in many ways.
Sub-Types of Project-Based Pricing
Project-based pricing can be as simple or as complex and elevated as you want it to be. You’ve got plenty of options. Let’s cover essential ones.
Flat Fee Charge Per Project
This is the classic, no-nonsense approach to project-based pricing. You set a single, agreed-upon price for the entire project, regardless of how much time or effort goes into it. It’s clean, easy to communicate, and simple for clients to understand.
This model works well for straightforward projects where the scope and deliverables are clear from the get-go.
✅ Example: a website design project for a $3,500 flat fee. That’s it. No surprises, no overage fees.
Tiered Packages
Tiered pricing allows you to create multiple options for clients, each one offering different levels of service. It’s a great way to give clients a sense of choice while still guiding them toward what you actually want to sell. This structure helps upsell without the awkwardness of pushing extras, and helps you avoid selling all projects with different scopes under one price.
For example, go for “Good / Better / Best” packages and make it easy for clients to pick what fits their needs (and budget) while subtly encouraging them to go for the higher-value options.
✅ Example: you could offer three packages for logo design:
- “Logo Only” for $1,000
- “Logo + Brand Kit” for $2,500
- “Full Identity System” for $5,000
💡 Good–Better–Best strategy encourages desired upgrades. Over 50% of consumers who start at a lower price point end up upgrading to a higher-priced option (Harvard Business Review, 2020).
Milestone-Based
When a project is larger or more complex, milestone-based pricing can help break the work into manageable phases. This structure allows both you and the client to track progress and ensures you’re compensated as the project moves along.
It’s ideal for long-term projects where the scope may evolve or take time to fully deliver, such as building a website or launching a complex marketing campaign. You can set up payments as the project reaches key milestones.
✅ Example: for a website build, you might break payments down as:
- 25% deposit to kick off the project
- 25% after wireframe approval
- 50% upon final delivery and website handoff
Value-Based Pricing
This one is for the bold or the ones working with high-end clients.
With value-based pricing, you price based on the value or impact your work will have on the client’s business — not just how many hours it takes you to complete it or the perceived value you see. It’s a high-risk, high-reward approach, but if you can confidently showcase the value your work brings to the end customer, it can lead to some big paydays.
To succeed here, you need to be crystal-clear on the ROI you’re delivering and have the confidence to back up your pricing.
Think of working with bigger brands, like Nike. A designer who created Nike’s logo we love and know got mere $35 at first, but then received a big reward for their work, albeit reciprocated later when the company actually gained traction. You can read the whole story and dive deeper into value-based pricing in this article.
✅ Example: “This sales page could drive $100K+ in revenue, so I’m charging $10K for the project.”
💡 Consumers’ perceptions of value influence their likelihood of making repeat purchases or transactions (N. Zhang et al., 2021).
Hourly Pricing vs. Project Pricing
As we can see from the definitions and project-based pricing types above, project-based pricing is all about the final outcome. But it doesn’t mean that sprinkling an hourly rate here and there is not possible.
Hourly pricing means you charge clients based on the number of hours you work. It’s a very beginner-friendly pricing format, especially for freelancers.
So if you want to switch from hourly to project-based pricing, you can start off with an hourly package model instead of a more standard way of charging a fixed amount for the whole project.
Like this. 👇
Imagine the following scenario: you’re a designer who works on an hourly pricing basis, but want to start productizing your work a bit more.
So you come up with a “10-hour design package” selling it for $1,000.
Why it works:
- Clients love bundles. It feels structured and it feels like they’re getting more value for their money. Who hasn’t fallen for a 2-for-u kind of deal in their lifetime?
- You avoid constant time-tracking + a mountain of invoices. You just sell the 10-hour bundle and once the time is complete, you sell another.
- It gives you some predictability.
Why it’s not classic project pricing:
- You’re still trading time for money.
- You limit your earning potential — if you get faster, you earn less.
- It’s easy to get nickel-and-dimed: “Well I still have 30 minutes left… can we squeeze in XYZ?”
Besides mini retainers or bundle hourly packages like the one described above, you can also do Day rates (“Book me for a VIP day – $2,000”) or Hourly caps with fixed deliverables (“This includes up to 15 hours of work across X deliverables”).
And although it’s not an “ideal” version of project-based pricing, it’s definitely a good starting point.
How Does Project-Based Pricing Work Exactly? Step-by-Step Guide
Here’s how introducing a project-based pricing model into your workflow can go, step-by-step.
1. Scope the Projects
Figure out exactly what’s included in each type of project you want to sell: what you’re delivering, when, how many revisions, and what’s not part of the deal. The tighter the scope, the smoother the process.
For example, if you’re a video editor, you could browse your past work and memory in search of repeatable projects and then write down each project type, associated costs, time needed to complete it.
💡 Quick to complete, valuable to the end client is the best combo for a project you can ask for. If you could find as many quick, but valuable wins, you’ll reap all the benefits of project-based pricing.
2. Set a Flat Price
Next, choose a number that covers your time, expertise, overhead, profit margin, and a little buffer (because things always come up). Basically, put a price tag on each project you’ve scoped.
For example, a copywriter can charge $1000 per each 5k-word article they write.
💡 In a study of over 1,000 e-commerce pricing tests, 96% of retailers who conducted at least three price tests found a better price point, achieving a median improvement of 3.2% in revenue (Harvard Business Review, 2025). Testing different pricing levels and types is always recommended – if you sell services too.
3. Deliver the Work
Next, all there’s left to do is let customers purchase your services and do the work.
What’s amazing is that you’re not tied to the clock. If you finish in 10 hours or 30, it doesn’t matter — the client gets the agreed result (remember to still keep it under agreed deadlines!).
4. Keep the Boundaries Tight
What if customers ask for extra work outside of the project scope?
To succeed with project-based pricing, you have to keep the boundaries tight. Every change to the project should trigger a new quote or a change to the order.
💡 You can include a set number of project revisions with a defined scope to help structure each project further and avoid scope creep or uncomfortable additional charging of the client. Win-win.
5. Get Paid
Project delivered on time?
Revisions done?
All there’s left to do is wait for the paycheck to come in.
Project-Based Pricing Example
A project based pricing structure can be explained best, as everything else, with a detailed example. So let’s dig into one.
Imagine you’re a jack of all trades and can put up websites for clients, from scratch, all by yourself. So you offer a full 5-page website design project (including homepage, about, contact, services, and blog page) with writing, graphic design, SEO, and coding included. We know, that’s crazy.
Project Pricing Breakdown
Here is how such a pricing may look like:
| Service/Deliverable | Description | Price |
|---|---|---|
| Discovery & strategy session | Initial meeting to understand brand, goals, target audience, etc. | $500 |
| Custom website design (5 pages) | Design of 5 pages (including homepage, about, contact, services, blog). | $2,000 |
| Responsive mobile design | Making sure the website looks good on mobile devices. | $500 |
| Copywriting (up to 1,000 words) | Writing or editing the website copy for the main pages. | $750 |
| Basic SEO setup | Adding basic on-page SEO (meta tags, alt text, keywords). | $300 |
| Revisions (2 rounds) | Includes 2 rounds of revisions to design and content. | Included |
| Final site handover & training | Deliver the files and offer a training session on using the website. | $250 |
| Total project fee | Total for the project (includes all deliverables above). | $4,300 |
The above table can serve both you and the end client, showing exactly what’s included in the project and how much each “part” costs.
Payment Structure
Then, you can include a 50/50 payment schedule to keep things comfortable for both sides.
- 50% upfront: $2,150 (before work begins)
- 50% upon completion: $2,150 (when the website is finalized and handed over)
What’s Included/What’s Not
Next, don’t forget to underline not only what’s included in the project, but also what isn’t to avoid scope creep and future headaches.
- Included: website design, copywriting, SEO setup, 2 rounds of revisions, final site training.
- Not included: ongoing support after launch, additional revisions, third-party plugins, or features outside of the agreed-upon scope.
Key Benefits of Project-Based Pricing
Let’s talk perks. Here’s why so many freelancers and small studios eventually move to project-based pricing.
First: predictable income. No “I forgot to track my hours” panic. You know what you’re getting paid, and when. Cash flow will be on your side.
Second: time is your best friend. If you get faster or more efficient, you make more money. You’re not punished for being good at your job.
Third: clients love the transparency. No hourly surprises, the price is known upfront. They know what they’re paying, and for what.
Fourth: you’re in control. You can build packages that work for you — your process, your timeline, your energy levels. (Burnout who?)
When to Use Project-Based Pricing? 6 Use Cases
Project-based pricing works best when:
- the deliverables are clear,
- the scope is defined,
- and you can estimate the time + effort with some degree of accuracy.
It’s popular with creatives, consultants, and service providers across the board:
| Position | Offering |
|---|---|
| Web designers/devs | landing pages, full websites, audits, redesigns |
| Copywriters | sales pages, email sequences, brand voice guides |
| Brand designers | logos, visual identity systems, brand kits |
| Marketers | campaign launches, strategy builds, funnel setups |
| Video creators | explainer videos, promo reels, editing packages |
| Consultants/coaches | workshops, reports, “done-with-you” sessions |
Basically, if you’re delivering a thing (not just time or access), you can probably charge by project.
But the niche or industry is not that important, you can turn likely any service into project-based pricing if you’re imaginative enough.
What you can’t imagine, though, are certain qualities that you should have to succeed with project based pricing fully.
6 Must-Have Qualities to Succeed With Project-Based Pricing
To succeed with project-based pricing, you need a blend of confidence, maturity, clear processes, and strong boundaries.
It’s about knowing your value, pricing for that value, and being able to deliver results while keeping clients happy.
1. Have a Clear Understanding of Your Offer
Project-based pricing is all about a clearly defined scope, so if you can’t define it, you can’t really do fixed fees for complete projects.
And before you can price a project, you need to have a solid grasp on exactly what you’re offering and what’s involved.
2. Confidence in Pricing and Value
To successfully sell a project-based price, you need to believe your work is worth what you’re asking. That means pricing based on value, not just time spent. If you lack confidence in your rates or end up discounting yourself for the sake of getting a project, it’ll be hard to maintain the project pricing model.
3. A Mature Business Mindset
Project-based pricing requires a level of maturity where you’re no longer just chasing “the next gig,” but managing your business with intentionality. This means having clear processes in place, understanding the risks of underpricing, and knowing when to say “no” to projects that don’t fit your ideal scope.
Take project-based consulting fees as an example, besides just maintaining good relationships with clients you take on for consulting, you also have to know how to set and maintain firm boundaries around scope, pricing, and timelines
4. Experience with Scope Definition & Management
One of the biggest challenges with project-based pricing is scope creep. A freelancer or business needs to be able to define the project scope clearly and enforce it throughout the process. Without strong scope management, you’re in danger of losing time and profit on extra work that wasn’t agreed upon.
5. The Ability to Say “No” (and Stick to It)
The ability to enforce boundaries is critical when dealing with project-based pricing. Clients often want to squeeze in extra work or make changes outside the original scope. If you can’t confidently say no or charge for those extras, project-based pricing can quickly lose its appeal.
6. Strong Project Management Skills
Of course, you’ll be managing timelines, deliverables, and client relationships in one go. A project-based pricing model means keeping the project moving forward, without delays, and maintaining control over the quality of work delivered. You need a solid system to track progress and deadlines.
When Project-Based Pricing Is a Bad Choice?
Project-based pricing, as any other pricing model, is not ideal for every business out there. It may not be the best idea in a few cases.
For example, given you have to accurately estimate project costs, if you can’t clearly outline what’s included and what’s not, you’re basically guessing your way into a pricing disaster. Vague scope = endless revisions = resentment.
When you’re offering something new (or super custom), it’s also hard to price it right. Look out for you saying “Not sure how long this will take, but I’ll just estimate…”
Another thing is, some clients don’t want a “project” — they want to be able to call you, get advice, ask for tweaks, or have you “on standby.” That’s not a project. That’s a retainer!
Last but not least, if you’re not ready to hold the line on scope, deadlines, revisions, or last-minute requests, you’ll drown in “just one more thing” territory. Project pricing rewards people who can say no with confidence. “Can we add this real quick?”
What is Best Software for Project-Based Pricing?
Project-based pricing sounds amazing — but it has its traps.
Without the right tools, you’ll find yourself getting crazy with emails, chasing down briefs, or losing track of who asked for what. That’s where tools like Zendo come in. It’s built to make selling, managing, and delivering fixed-scope services way smoother.
Here’s how Zendo can save your sanity:
✅ Intake Forms That Do the Pre-Qualifying For You
Stop writing the same email over and over. Zendo’s custom intake forms let you collect all the info you need before the project even starts. Think: goals, deliverables, deadlines, files, and must-haves — all in one place, submitted by the client themselves. It’s like onboarding without lifting a finger.
✅ Workflows That Run on Autopilot
Every project doesn’t need to feel like Groundhog Day. With Workflows, you can automate your work throughout the entire project: send automated messages, trigger invoices, and move through each phase without babysitting every to-do.
✅ Client Workspaces That Keep Everything in One Thread
No more Slack messages + email chains + rogue Google Docs. Zendo gives you a centralized workspace for each client. You can chat, share files, approve deliverables, request revisions — all from one place.
✅ 360-view of all your projects
With work management, you can view all your work in one place and in the format you love the most. Table, list, Kanban? All there.
Start with a free Zendo account and take your project-based pricing to the next level, easily.
FAQ
What is Project-Based Fee?
A project-based fee is a fixed price set upfront, covering the entire scope of work, no matter how many hours or resources it takes to complete. Sometimes it is also called a project-based rate or just a “project pricing”.
What is Example of Project-Based Business?
An event planning company often works on a project basis, charging a set price to organize an event from start to finish, covering everything from venue booking to vendor coordination. Other businesses that usually go with project-based rates include web design agencies, branding studios, marketing consultants and construction firms.
