Retainer Pricing
Work out a monthly retainer that reflects reserved capacity and account management, not just the hours you expect to deliver.
What do you want to calculate?
Calculate a sensible monthly fee for ongoing client work.
Your retainer
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Your results
Recommended monthly retainer
$3,511/month
$125/hour
Effective rate across 28 hours a month
Standard monthly value
$3,360
Availability premium
+$336
10% of standard value
Commitment discount
-$185
5% of value with premium
Recommended retainer
$3,511 /month
$42,134 /year
What this means
You expect 25 client hours plus 3 hours of account management each month — 28 hours at $120/hour, or $3,360. A 10% availability premium adds $336 for holding capacity open, and a 5% commitment discount takes off $185 in exchange for predictable recurring work. That gives a recommended retainer of $3,511 a month, an effective $125/hour.
Summary of your calculation
- Standard monthly value (28 hrs × $120)
- $3,360.00
- Availability premium (10%)
- +$336.00
- Value before discount
- $3,696.00
- Commitment discount (5%)
- -$184.80
- Recommended retainer
- $3,511.20 /month
- Effective hourly rate
- $125.40
A retainer isn't just hours × rate
Retainers trade flexibility for predictability on both sides. Price the arrangement, not only the output.
Reserved capacity
You hold time open for this client and turn other work away.
Predictable revenue
Recurring income is worth something — that's what justifies a discount.
Priority availability
Faster response times and priority access carry a premium.
Administration
Reporting, planning and account management take monthly hours.
Commitment discounts
Discount for the commitment, not out of habit — and know what it costs you.