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Hoy, Pay Cut Ba Ito?! Dealing With Lower Pay & More Hours as an Independent Contractor

You busted your butt, hit all your deadlines, delivered top-notch work…and then BAM! Your client hits you with the ol’ “we’re lowering your rate” curveball, but they want you to work MORE hours.

It’s enough to make you wanna scream, “Hoy, pay cut ba ito?!”

Hold up, kapamilya. Don’t panic (yet). We’re gonna break down what to do when you’re facing this lousy situation as an independent contractor.

Understanding the Independent Contractor Life

First things first, let’s get real about being an independent contractor. It’s a different ball game than being an employee.

  • You’re the Boss: You call the shots, set your rates, and choose your clients (to an extent, anyway).
  • Flexibility is Key: You can work when you want, where you want, and take on projects you find interesting.
  • But…No Safety Net: No paid vacation, no sick leave, and no company-sponsored health insurance. And sometimes, you gotta deal with clients trying to pull a fast one.

Why, Oh Why?! Reasons Behind the Lowball

Okay, so your client wants to pay you less for more work. Rude. Let’s dissect the possible reasons why:

  • Budget Cuts: Maybe their company’s tightening the belt, and you’re caught in the crossfire.
  • They Think They Can: Some clients try to take advantage of freelancers, assuming they’re desperate for work.
  • Your Value Proposition Needs Work: Are you clearly communicating the value you bring? If not, clients might not see why they should pay you more.

Don’t Just Accept It – Here’s Your Game Plan

Alright, so you know why they’re trying to pull this stunt. Now what? Time to channel your inner Lola and stand your ground.

Here’s your action plan:

1. Know Your Worth (and Your Numbers!)

  • Track Your Time: If you haven’t been already, start tracking every minute you spend working for this client.
  • Calculate Your Hourly Rate: Divide your total earnings by the hours worked. How does it compare to industry standards?
  • List Your Wins: What have you accomplished for this client? What specific results have you delivered? Numbers talk, friend!

2. Time for a “Mag-Usap Tayo” Session

Yep, it’s time for a heart-to-heart, Filipino style! Schedule a call or meeting with your client to discuss the situation calmly and professionally.

  • Listen First: Understand their reasoning. Are they facing genuine financial constraints?
  • Present Your Case: Once they’ve had their say, present your own perspective. Highlight your achievements and the value you bring. Be firm but polite.
  • Propose Solutions: Don’t just complain – come prepared with alternatives. Can you negotiate a smaller rate increase? Can you reduce your workload instead?

3. Be Ready to Walk Away

I know, I know…easier said than done. But sometimes, you have to be willing to walk away from a bad deal.

  • Have Other Options: Ideally, you should always be diversifying your client base. This gives you leverage if one client tries to pull a stunt like this.
  • Set Clear Boundaries: Let your client know you’re serious about your rates and your worth. Don’t be afraid to say no to unreasonable demands.

Preventing Future Pay Cut Dramas

Prevention is better than cure, diba? Here’s how to avoid this whole pay cut mess in the future:

  • Rock-Solid Contracts: Always, always, ALWAYS have a detailed contract in place. Clearly outline the scope of work, payment terms, and any kill fees.
  • Regular Rate Reviews: Don’t be afraid to increase your rates periodically, especially if your skills and experience have grown.
  • Diversify, Diversify, Diversify: Having multiple clients spreads your risk and gives you more negotiating power.

Remember, You Got This!

Dealing with clients trying to lowball you is never fun, but it’s a part of the freelance life. Just remember, you are talented, you are valuable, and you deserve to be compensated fairly.

Stand your ground, know your worth, and don’t be afraid to walk away from bad deals.

Now go out there and show them what you’re made of!