Before You Start

This guide is for freelance bookkeepers, CPAs, and accounting firm owners. It assumes you have an existing or planned bookkeeping/accounting business and are ready to rethink your pricing strategy.

Overview

35 min
Setup Time
Intermediate
Difficulty
Ongoing Strategy
Maintenance

What You’ll Learn

  • How to move from hourly billing to value pricing
  • Strategies for bundling your services effectively
  • Communicating your value proposition to clients
  • Tools and techniques for implementing new pricing models

1. Understanding Your Services & Costs

Before setting prices, clearly define what you offer and what it costs you:

Core Service Categories

  • Monthly Bookkeeping (e.g., reconciliations, data entry)
  • Payroll Processing
  • Financial Reporting (e.g., P&L, Balance Sheet)
  • Tax Preparation Support

Hidden Costs to Consider

  • Software Subscriptions
  • Professional Development & Training
  • Marketing & Client Acquisition
  • Non-billable administrative time

2. Pricing Models Compared

You have two main options for structuring your fees, each with distinct implications for your business and clients.

Method A: Hourly Billing

This is the traditional “time-for-money” approach.

Pros:
  • High flexibility for clients.
  • Direct recovery of time spent.
  • Easy to understand and implement.
Cons:
  • Caps income potential.
  • Penalizes efficiency.
  • Clients focus on hours, not value.

Method B: Value-Based Pricing

This model prices services based on the value delivered to the client, not time.

Expert Tip: We strongly advocate for value pricing. It aligns your success with client outcomes, offering transparent costs and higher profitability as you become more efficient.

Pros:
  • Scalable income potential.
  • Rewards expertise & efficiency.
  • Clients focus on outcomes & value.
Cons:
  • Requires confidence in value.
  • Can be harder to quote initially.
  • May be perceived as expensive by some.

3. Building Your Service Packages

Moving to value pricing often involves structuring your services into tiered packages. This provides clarity and allows clients to choose the level of service that best fits their needs.

Here is a sample package structure to illustrate the concept.

{
  "package_name": "Growth Pro",
  "services_included": [
    "Monthly Bookkeeping",
    "Payroll Integration",
    "Financial Reporting (Quarterly)",
    "Strategic Consultation (Annual)"
  ],
  "price_per_month": 750,
  "value_proposition": "For businesses ready to scale and optimize their financial performance."
}

4. Implementing Value Pricing

  1. 1

    Define Your Ideal Client

    Understand their challenges, goals, and what financial outcomes they value most from your services.

  2. 2

    Identify Key Value Metrics

    Determine quantifiable ways your services save clients time, reduce costs, or increase profit. This forms the basis of your value proposition.

  3. 3

    Structure Your Packages

    Create 3-5 tiered service packages (e.g., Basic, Growth, Premium) with clear deliverables and a single fixed price for each. Avoid “a la carte” menus.

Common Pitfall: Undervaluing Services

Many bookkeepers underprice their services. Research market rates, but focus on the unique value you provide. Don’t be afraid to charge what you’re worth.

5. Review & Refine Your Strategy

Ongoing Pricing Checklist

  • Regularly review client profitability
  • Gather client feedback on perceived value
  • Stay updated on market rates and industry trends
  • Adjust packages and pricing as your efficiency and value grow

Need Help?

Get Expert Pricing Advice

Struggling to confidently price your bookkeeping services? Our team can help you build a profitable, value-based pricing strategy.

Contact Us