Setting the right price for your services isn’t just about numbers — it’s about understanding your value, communicating it clearly, and building a sustainable business. This guide will help you price confidently and avoid common pitfalls like undercharging or scope creep, while choosing a model that works for you and your clients.
Why Pricing Has Changed
The days of charging solely by the hour are fading fast. The bookkeeping landscape has evolved, and so have client expectations. Here’s what’s driving the change:
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Automation has reduced manual work, putting more emphasis on insight and advice.
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Clients want clarity and predictability in what they’ll pay.
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Global competition and software tools have raised the bar — but also opened up new opportunities for bookkeepers who focus on quality and service.
That’s why many bookkeepers are moving away from hourly rates and towards pricing models that reflect the real value they deliver.
Popular Pricing Models
1. Hourly Pricing
You charge based on the time spent.
Best for: One-off or occasional tasks (e.g. VAT returns, reconciliations).
Pros:
- Simple to track and invoice
- You're paid for every hour worked
Cons:
- Penalises efficiency
- Can lead to unpredictable income
- Clients may question your time
2. Fixed Pricing
You agree a set fee for a specific scope of work.
Best for: Recurring services like monthly bookkeeping, payroll or management accounts.
Pros:
- Easier for clients to budget
- Predictable income
Cons:
- Scope creep can eat into your profits
- Requires careful scoping up front
3. Hybrid Pricing
A mix of fixed fees for core work, with hourly or value-based fees for extras.
Best for: Practices offering both regular and project-based work.
Pros:
- Flexible and adaptable
- Allows for tailored service
Cons:
4. Value-Based Pricing
Pricing based on the outcomes you deliver, not just time or tasks.
Best for: Strategic or advisory services like forecasting or business planning.
Pros:
- Reflects the impact of your work
- Can support premium pricing
Cons:
- Harder to define and agree
- Requires strong client relationships
5. Tiered Pricing
You offer packages (e.g. Basic, Standard, Premium) with increasing levels of service.
Best for: Practices with a range of clients and services.
Pros:
- Clients can choose what suits them
- Encourages upselling
Cons:
- Packages must be clearly defined and profitable
- May be harder to manage over time
Watch Out for Underpricing
Charging too little may feel like a way to attract clients — but it can backfire. Underpricing:
- Undermines your professional value
- Attracts price-driven clients who may not respect your time
- Makes it harder to raise prices later
- Can lead to burnout from overwork
Remember: You’re not just selling time — you’re selling peace of mind, reliability, and expertise.
Avoiding Scope Creep
Scope creep happens when clients ask for more than was agreed, without adjusting the fee.
Here’s how to stay in control:
- Be clear from the start: set out what’s included in your engagement letter
- Use contracts to draw firm boundaries
- Track time even on fixed-fee jobs
- Flag extra work early and explain additional charges
Setting the Right Price
Use these steps to build a pricing structure that reflects your worth:
- Know your value – take your experience, qualifications, and impact into account
- Check the market – look at what others in your area and niche are charging
- Work smart – use tech to streamline tasks and increase your margins
- Review regularly – update your pricing annually or when your services change
Final Word
As an ICB member, you’ve already committed to professional excellence — your pricing should reflect that!
Find out more about ICB's own regulations governing conduct and professional development for Practice Licence holders.
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