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by hgears 3531 days ago
There are a lot of resources out there for contracts-- which you should definitely be using-- andFreelancer's Union also has some good tax and contract guides-- https://www.freelancersunion.org/resources/ (They're free to join.)

The main thing to remember is that if the total value is over $600 and you're reporting the income, the company will likely ask for a W-9 from you and issue a 1099 at the end of the year. Then, you will be charged the 15% self-employment tax on top of federal and state taxes. A lot of beginning freelancers don't figure this into their rates, and they end up with a much bigger tax bill at the end of the year than anticipated.

I would recommend charging hourly, $50-75/hr is likely reasonable in your area, but providing the business an estimate of the range of hours-- say 10-15, or 20-25, etc so at least they know ballpark in the beginning what to expect. If you check in with them midway and say "hey this is ending up to be a lot more complicated, just so you know it will take more hours" then they'll appreciate it and be more likely to pay you quicker with no quibbles or "surprises."