"How much should I charge for my interior design services?"
Setting the right fee can feel like walking a tightrope. If the price is too low, you risk burnout and undervaluing your work. If the price is too high, you might alienate potential clients. The key is to develop a pricing strategy that aligns with your value, covers your costs, and sets your business up for sustainable growth.
This guide will walk you through practical strategies, popular pricing models, and actionable tips to help you set fees that highlight your worth keeping your projects profitable. Whether new to the industry or refining your approach, you’ll find insights to price your services confidently.
How Much Should You Charge for Interior Design?
There’s no universal formula for pricing interior design services—it depends on the project, the client, and your own expertise. Your experience will play a key role in determining what motivates your client and the best approach to meet their needs.
Often, a flexible strategy works best, combining different pricing methods based on the project’s stage and whether the scope is clearly defined. This adaptability ensures that your pricing reflects the value you provide while accommodating the unique demands of each project.
Key Considerations for Setting Your Fees
Project Scope: Larger projects or those requiring detailed customisation typically justify higher fees.
Client Expectations: Bespoke services require more time and expertise, which should be reflected in your pricing.
Regional Market Rates: Research competitors in your area to benchmark your rates.
Your Experience: Established designers can charge a premium for their reputation and proven results.
When setting your fees, ensure you focus on value first, and numbers second. Use our image-first fee proposal templates to communicate fees clearly and set expectations professionally.
How to Quote for Interior Design Projects
Providing an accurate quote ensures transparency and builds trust with your clients. Here’s how to approach it before you get into the details:
1. Break the Project into Phases
Divide the work into manageable phases, such as concept design, sourcing, and installation. This helps clients understand what they’re paying for and allows flexibility. It also provides you start and stop points in case the project stalls meaning you're not in an awkward position where you feel out of pocket. The more defined the stages, the easier things will be.
2. Account for Revisions
Specify how many revisions are included in your fee. Charge extra for additional changes to protect your time. These terms should be clarified within your fee proposal, like our Colombo Interior Design Fee Proposal Template.
3. Use a Clear Fee Structure
Choose a pricing model (or a combination) —hourly rate, flat fee, or percentage-based—and explain it to your client. Transparency is key. If using a combination, explain clearly why you're proposing and how this benefits your client.
Different Pricing Options for Interior Designers
Fixed Fee Packages
This is the most straightforward, you'll complete your agreed scope of work for a fixed amount of money for your time and design works. You must break down your project into several milestones to ensure it's clear when money is due to help avoid any conflicts. These could be:
Initial Consultation
Concept Design Boards
Detailed Design Schedules
Construction Period
Furnishing & Styling
Calculating your fixed fee, it's as simple as calculating your breakeven rate and multiplying it by the amount of hours you estimate you'll use up working on the project. You can use our cost-rate calculators with our financial tools for interior designers & architects to calculate your breakeven rates, either as a solopreneur or if you have staff.
By pricing a fixed fee you'll essentially be taking on a level risk that you underestimate how long a project takes, but you could also complete the work in fewer hours, and make more per hour. It's important to allow for some contingency as more often than not, work takes more hours than we estimate.
If there is any work completed outside of the scope, ensure you have provisions in your fee proposal for additional work. This can often be completed at a pre-agreed hourly rate, or you could agree to another lump fixed fee before you start the work. Sometimes giving your client the option means they feel they have more control over their destiny and have less risk of conflict.
Pros | Cons |
|---|---|
Clients appreciate knowing the total cost upfront, allowing them to budget effectively and avoid surprises. | If you miscalculate the hours needed, you could end up working for far less than your intended hourly rate. |
You know exactly how much you’ll earn from the project, helping you plan your cash flow. | Fixed fees may not adapt well to unexpected changes or evolving client demands. |
Completing the work in fewer hours allows you to effectively increase your hourly rate without charging clients extra. | To protect profitability, you may feel pressured to work quickly, potentially affecting quality or client satisfaction. |
Clearly defining the scope in a fixed fee agreement helps limit unexpected additions unless renegotiated. | Without clear provisions for additional work, clients may attempt to expand the scope without agreeing to extra fees. |
Breaking the project into milestones, like concept design or furnishing, provides clear benchmarks for both payment and progress, reducing disputes. | Calculating a precise fixed fee requires detailed project scoping, which can be time-consuming upfront. |
Hourly Rate (How Much Does an Interior Designer Charge Per Hour?)
Interior designers use hourly rates where the client pays you for each hour that you work on their project. This can include many tasks such as design, sourcing, shopping or coordinating on construction sites.
Your hourly rate is based on what a client would be willing to pay for your services. The key is to ensure this is above your break-even point. This is where an hourly-rate calculator can be used to streamline this as your practice grows. More experience, qualifications and a premium brand will allow you to justify higher pricing. You can learn how to build a brand for interior designers here.
Rates vary based on experience and location:
Beginner Designers: £50–£75 per hour.
Experienced Professionals: £100–£150 per hour.
High-End Designers: £200+ per hour for luxury projects.
I often use an hourly rate in the following situations:
It's too early to define a scope and the client would like to just explore some ideas (agree a pre-set amount of hours so there are some boundaries).
Any additional work outside the scope of your fixed fee agreement
Where scope keeps creeping and it's easier to just work on an hourly rate.
Where you feel you're taking on too much risk competing on a fixed fee.
Where part of your scope of services isn't clear enough and a section of your services can be completed on an hourly rate (i.e. the Client isn't sure if they want you to be involved on-site).
Essentially as a retainer during stages where my involvement may be sporadic.
Pros | Cons |
|---|---|
Ideal for projects where the full scope isn’t yet defined, allowing you to adjust as the project evolves. | Clients may feel uneasy about open-ended costs, particularly for larger projects, leading to budget concerns. |
You’re compensated for all the time you spend on a project, reducing the risk of underestimating workload compared to a fixed fee. | Keeping track of every task, including brief emails or calls, can be tedious but is essential for accurate billing. |
Charging hourly for work outside a fixed scope ensures fair compensation for unexpected client demands. | Clients might question the time spent on certain tasks if they don’t visibly see the results (e.g., research or coordination). |
As your expertise and brand grow, you can increase your hourly rate, aligning pricing with the value you bring. | Completing tasks quickly due to expertise may result in earning less than if you’d used a fixed fee. |
Clients are more mindful of your time when billed hourly, reducing unnecessary or non-essential tasks. | Clients may hesitate to green-light exploratory or iterative work if they perceive hourly billing as costly. |
Cost-Plus Markup (%)
Cost-plus markup is a pricing method where you charge clients the retail price of items, such as furniture, fixtures, or accessories, and add a markup to cover your time and expertise in sourcing them. This markup typically ranges from 10% to 30% but can vary based on the type of project or the relationship you have with the client.
This method works best if you have established trade accounts or supplier relationships that provide discounts. Essentially, you’re taking on the responsibility of sourcing and procurement, but instead of passing those discounts directly to the client, you retain a percentage as your fee. The key to success with this model is transparency—clients need to clearly understand the arrangement to avoid misunderstandings or mistrust.
For example, if you secure a sofa at a 20% trade discount, you might choose to split the savings with the client or retain the full discount as part of your fee. This approach can turn your procurement work into an additional revenue stream while offering clients convenience.
That said, you must make sure this arrangement is clearly outlined in your fee proposal and client agreement. Any ambiguity can lead to mistrust, especially if clients perceive a conflict of interest, such as you favoring more expensive options. Clear communication is your safety net here.
Pros | Cons |
|---|---|
Markups create a new income source that goes beyond just design services, helping you boost your profitability on each project. | Without clear communication, clients may feel uneasy about you profiting from their purchases, especially if they suspect you’re favoring pricier options. |
Handling sourcing and procurement saves clients time and effort, which can make your service feel more valuable. | Managing multiple orders, tracking markups, and dealing with supplier invoices can add significant time to your workload. |
Your industry connections and trade accounts give you access to discounts that clients wouldn’t have on their own, enhancing the value of working with you. | Clients might worry that your recommendations are influenced by the markup, rather than their best interests. |
Works particularly well on high-budget projects where procurement involves significant time and effort, making the markup easier to justify. | Depending on your location, there may be tax or legal implications for marking up items, so it’s crucial to consult legal advice before adopting this model. |
You can tailor the markup percentage based on the scope of work or the client’s preferences, creating a more adaptable pricing model. | On smaller projects, the markup revenue might not be worth the administrative burden of managing procurement. |
Avoiding Common Pricing Pitfalls
Even the best pricing strategy can fall flat if you don’t account for a few common pitfalls. Here’s how to sidestep them:
Undercharging for Revisions
Scope creep happens. A client wants “just one more change,” and before you know it, you’ve spent hours reworking something without getting paid for it. Always include a clear number of revisions in your fee proposal. For anything extra, charge an agreed hourly rate or a new fixed fee. This keeps things fair and ensures you’re compensated for your time.
Not Tracking Your Time
Even if you’re working on a fixed fee, tracking your time is essential. Why? It shows you where your hours are going and helps you assess whether your pricing is actually profitable. Plus, for projects with hourly rates, it ensures you’re not leaving money on the table for “quick” tasks that add up.
Ambiguity in Deliverables
Unclear deliverables can lead to misunderstandings. Be specific about what’s included: Are you delivering just a mood board, or are you also sourcing all the furniture? The more detailed your fee proposal, the less room there is for disputes later on.
Failing to Communicate Pricing Changes
If a project evolves, so should the price. Be upfront about when and why costs might increase, whether it’s due to additional revisions or a shift in scope. Most clients are reasonable if you keep them informed—problems arise when changes come as a surprise. Use email templates to ensure you don't miss any of the important details.
Conclusion: Confidently Charge What You’re Worth
Pricing your interior design services doesn’t have to feel overwhelming. By understanding your value, choosing the right pricing model, and avoiding common pitfalls, you can set fees that reflect your expertise and keep your business thriving.
For me, I prefer using a fixed-fee sum for most design work, scheduling and detailed sets of drawings. I then use an hourly rate for things like shopping, revisions, on-site services. Often for us, we complete both architecture and interior design as part of one package which comes with it's own complexities but I'll cover this in a future blog. If you'd like to stay in touch, download our free 40-page client guide and I'll be in touch with more useful information.
