I tracked my hours for 3 months. My $900 retainer was really a $500 one.

Sharing this because I put the conversation off for almost a year and wish I had not.

I have a client on a $900 a month retainer. Original scope was simple: 12 posts a month on two platforms, one monthly report, comments during business hours. By this summer it had quietly become 20ish posts, a third platform, stories most days, a weekly call that was never in the agreement, and comment replies on weekends because I felt awkward saying no.

I finally tracked my actual hours for three months. Scoped: about 14 hours a month. Actual: 26, 29, then 31. My effective rate had dropped under $31 an hour, on the client I thought was my best one.

What worked when I finally had the talk: I did not lead with a price increase. I sent a short scope report first. Two columns, what we agreed vs what last month actually looked like, with the hours next to each item. Then two options. Keep everything they are getting now at $1,450, or stay at $900 and drop back to the original scope, with the extras listed as add ons they can buy one at a time. Sixty days notice either way.

They picked the bigger package in about ten minutes. Nobody was annoyed. The part I keep thinking about is that they had no idea how much had piled up, because I never told them. Half the drift was my fault for just absorbing it.

Curious how others handle this. Do you track hours on retainers at all, or price it flat and not look? And when you have had this talk, did you lead with the data or just state the new price?

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PeepSoWP•1 day ago•5

I would track hours on a flat retainer, not to bill every minute, but to verify the scope, effective rate, and workload assumptions. Review the numbers monthly or quarterly, before the drift becomes a year of unpaid additions.

The agreement should name the included deliverables, platforms, revision rounds, meetings, community-management hours, response window, and add-on rates. When an extra request becomes recurring, quote it before absorbing it. A useful automatic trigger is two consecutive months more than 15% over the expected hours, which starts a scope review.

Leading with the data and two clear choices was strong. I would also track gross margin and after-hours work, because a retainer can look profitable while quietly consuming the time needed for other clients.

ferocious_coug•1 day ago•1

For clients on a fixed fee contract I still send an hourly breakdown with the invoice every month. That way there's a record of scope creep and if hours start to go way over the agreed upon retainer tier.

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TOMSHARMANWEB•about 10 hours ago•1

Track hours, price flat. The tracking is for you, so you see the effective rate before a year of drift builds up. The price stays simple for the client.

Leading with the data was the right call. A few things the comments haven't covered:

- Make the scope report permanent. Send it monthly, with the hours column on it. The next conversation then takes two minutes, because nothing has piled up unseen.

- Name the weekend replies. Put a response window in the agreement, for example business hours only, with weekend cover as a paid add on. Absorbing it quietly teaches the client that it's free.

- When a one-off request turns up a second time, tell them it's now an add on before you do it a third time.

Now, something from co-founding Angels Management, a creator management company, in November 2021. The idea we worked to was that management earns its percentage by changing the numbers, and if the creator would have got there anyway, you are a cost. A retainer follows the same test. Your scope report put what changed next to what it cost, so the client could see what they were buying. A fee holds when the client can see what moved.

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