This week on Dear Katie, we’re talking about something that’s been on the minds of a lot of firm owners lately:
how to charge more, without simply slapping on a higher price tag.
For most firms, it’s not that your prices are too low.
It’s that your pricing model and client mix weren’t built to support the next stage of your growth.
How do you fix that?
By rethinking how you charge, who you charge, and what your clients perceive as valuable.
If you’ve ever caught yourself wondering,
“How do I make more without working more?”
Then today’s topic is for you. Let’s dive in.
Accountants should raise their prices annually.
The cost of living rises annually, and you want to be sure that you’re charging your worth. I recommend that you start by understanding who you are working with.
What types of clients are you working with?
Sit down, go through your client list and really dig into this question. What I want you to come away knowing is: can these clients realistically afford the fees you want to charge?
If the answer is “no,” it’s time to change the room.
You want to attract better-fitting clients.
Clients that:
Sometimes, changing doesn’t mean that you need to do more. Instead, you might just need to step into a new room where the math works in your favor.
Often there is some pushback when I mention higher paying clients.
It’s true. These clients might be harder to find. But guess what? You need a whole lot less of them, too.
The juice is worth the squeeze when you make more from doing the same or less, not piling on more work on your already crowded plate.
It may sound counterintuitive, but it’s true: if it’s too easy to work with you, clients will often undervalue your time.
Add some intentional friction to avoid this outcome.
Not only will this help you save your sanity, but it will also signal to clients that your process matters. As the perception of value rises, so can your prices.
If you want to increase your value perception even more, you can charge for different access levels, like how many meetings they get or a quicker response time to calls or emails.
Naming and packaging your everyday services makes them feel premium.
For example, instead of calling your service “1099 Filing,” call it the Contractor Confidence Program.
You’re still doing the same work, but your package names tell a story and help sell the valuable outcome you deliver. And that outcome is what allows you to command higher fees.
Your fee doesn’t live in a vacuum. Stack your pricing against what your clients would otherwise spend on things like:
Frame your fees against these alternatives, and you become the obvious choice (even if you’re charging a higher rate).
When was the last time you did a scope review? If it’s been a while (or you’ve never done it), now is the time to pencil that into your schedule.
Why?
Many firms are giving away work without even realizing it.
Instead of letting these things slide, review your scope once per quarter.
Ask yourself: Where am I over-delivering?
Once you’ve identified those areas, it’s time to turn that hidden work into a defined, billable service.
Those little “favors” add up and can easily transform into a $1,000+/month add-on if you formalize it.
So many firm owners wait for clients to “ask” for a service before suggesting it. That’s a big mistake.
One of the fastest ways to raise prices is to proactively invite your clients to the next, or another, level of service.
For example, you can move:
Remember that upselling or cross-selling isn’t being pushy. You’re showing clients the potential transformation that’s possible when they work even closer with you.
And, that’s a wrap on this Dear Katie question.
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Now I want to hear from you. Do you have a question?
Until next time, cheers to your success!
Katie
Review your client list and assess their financial capacity. If they can’t afford your new fees, consider targeting clients who view your services as an investment.
It means setting boundaries, like scheduled call times and clear onboarding steps, to enhance the perceived value of your services and prevent clients from undervaluing your time.
Rename your services to create a premium feel. For example, instead of ‘1099 Filing,’ use ‘Contractor Confidence Program’ to highlight the value and outcomes you provide.
Conduct a quarterly scope review to identify areas where you’re providing extra work for free, and then formalize those into billable services.
Proactively suggest higher levels of service to your clients, showing them the added value and transformation they can achieve by working with you more closely.
Regular reviews help ensure your pricing aligns with your growth goals and the value you provide, allowing you to adjust as necessary without losing clients.