Raise Your Rates!

Warning: Some of you may feel called out by this post. Keep reading!

I am in several solo and small-firm lawyer Facebook groups where the price of services inevitably comes up. The questions often go something like this:

“How much are you charging for an estate planning package?”

Sample responses follow:

“I charge $500 for a single person and $750 for a couple.” (6 Likes)

“I charge $1250 for a couple, but if their estate is more complex, the price goes up.” (2 Likes, 1 Heart)

 “I charge $600 for an estate planning package for a couple as long as it’s simple.” (6 Likes, 2 Hearts)

“We are not supposed to talk about our fees.” (2 Likes, 1 Shocked Face)

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I find myself biting my tongue in these virtual scenarios because it’s challenging to see lawyers, especially women lawyers, race to the bottom with pricing.

For many years I did this. I wanted to get clients in the door because they were “easy” or because I could do their work efficiently. After serving hundreds of clients at a discounted rate, I realized that I was constantly putting in the same effort — whether clients were paying me a nominal fee or paying me at a rate that compensated me for my skills, value, and know-how. I usually had the same number of questions, the same follow-ups, the same number of changes, and, on top of that, I sent the same client gift — you get my drift. Their matters were never (OK, rarely) simple, though I would use this rationale to justify my bargain-basement prices. My example is for estate planning, but you can easily substitute a “simple divorce” or similar “simple” service here. I wish the law were simpler!

This conversation triggers questions about flat fee billing versus hourly billing. I won’t discuss the pros and cons today, but know that I am Team Flat Fee, so this article assumes flat fees. I price my services based on value, not my billable time on a task. I justify this based on my experience, know-how, and other benefits my clients experience when working with me. To find more evidence to support my flat fee billing stance, you can purchase Brita Long’s book, “The Happier Attorney.”

Suffice to say, some of us would be happier if we’d raise our rates. Far too commonly, attorneys are barely making a livable wage when they slice and dice all of the overhead, including staff, resources, and effort it takes to serve clients. Notably, many solo and small firm women attorneys do everything themselves, and because they do everything themselves, they feel like they can’t justify a higher rate. Folks, we went to law school. We should not be compensated just for the time we spend drafting a motion or inputting a name on a will; otherwise, we can go work elsewhere and make a better living.

It shouldn’t be provocative for an entrepreneurial legal professional’s compensation to match her experience and skill in law practice. Yes, your firm should support your clients, but it must sufficiently compensate you for your expenses, services, and expertise. Pay yourself! Stop thinking that skipping out on payroll for yourself is a sustainable option. If you are in this boat a change is necessary to have a profitable firm. For most of us, paying our bills should not be the ceiling for earnings. Why not plan for a rainy day? The quickest way to not skip or underpay yourself is to raise your rates. With higher rates, you can even lower your volume of clients and have more time to give fewer clients a better experience.

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I recently read an article on Above the Law about how a starting Biglaw associate salary is $200,000 in certain markets. I know attorneys who have skillfully practiced law — for decades — and have not broken six figures. While I balk at the idea of someone coming straight out of law school automatically making six figures, the market continues to support this salary. Someone or some organization values brand spanking-new associates at that rate — regardless of whether that skill is immediately apparent or if I agree. (Please don’t come at me on this one.) I do not doubt the $200,000 baby attorney. Instead, I’m arguing that if they can get that with little to no experience under their belts, why is it justifiable for small and solo attorneys to make pennies on the dollar to get the next client in the door?

As entrepreneurial lawyers, I advocate adopting more of the Biglaw salary money mindset (I said money mindset, not everything else). Then, we can more than support our basic living expenses and have something extra on top to put away for a rainy day. Of course, in doing so, show your value, but always stand by your rates; you will attract the right clients who will also appreciate working with you.

Do you agree or disagree? I’d love to hear your constructive comments or questions at iffywrites@ibekwelaw.com. I am always looking for topic suggestions! Did I mention that I signed with a literary agent for my upcoming estate planning book? You can read all about it here.


Iffy Ibekwe is the principal attorney and founder of Ibekwe Law, PLLC. She is an estate planning attorney evangelist for intergenerational wealth transfer with effective wills and trusts. Iffy scored a literary agent and is writing her first book on estate planning for regular folk, available in 2022. She graduated from The University of Texas School of Law and has practiced law for over 14 years. Iffy can be reached by email at iffywrites@ibekwelaw.com, on her website, and on Instagram @iffyibekweesq.