Personnel costs for freelancers – How to plan for special payments

Special payments are a central component of personnel costs, especially for self-employed individuals in the design industry. As a freelance web or graphic designer, it is crucial to understand that not only the regular salary or fees for services rendered need to be considered. Special payments such as bonuses, vacation pay, or Christmas bonuses are also important factors that should be included in the cost calculation. In this guide, you will learn how to effectively integrate these special payments into your calculations and what you should consider while doing so.

Key findings

• Special payments are part of personnel costs and important for calculation.
• As a self-employed person, you should also consider vacation and Christmas pay.
• Training costs and employee events are additional items to plan for.
• Overall, you should calculate about 20% of your income for special payments.

Special payments in detail

The first aspect you should consider when calculating personnel costs is special payments. Even if you think there are none in self-employment, you must be aware that it makes sense to plan for these.

Employees often enjoy numerous benefits that you, as a self-employed individual, do not automatically have. Colleagues working in employment enjoy special payments such as bonuses that are usually paid regularly. It is important to ask yourself: What are the disadvantages I have as a self-employed person compared to an employee? And why should I forgo the benefits?

A very important topic is bonuses. If you have accepted a particularly lucrative assignment, you should allow yourself to pay out a bonus. This not only provides motivation but is also an important compensatory payment for the uncertainties you face as a self-employed individual.

Furthermore, vacation pay is another crucial point. Each of us needs vacation to regenerate and recharge. In order to afford your vacation, you need to factor these costs into your hourly rate. If you do not account for your vacation, the question arises: Who pays for your vacation?

Now let’s talk about Christmas bonuses. Many companies pay their employees an additional salary or bonus at Christmas. It is also important for you as a self-employed person to plan for this amount. In many agencies, it is common to pay employees a small bonus at Christmas and for the summer vacation. This should also find a place in your calculations.

Another point you should not overlook is the cost of training. You invest time and money in workshops and training sessions. These expenses must also be taken into account in your calculations. Participating in a workshop increases your value and, consequently, your market value.

Company events also represent a category of costs that must not be neglected. Contact with clients and team bonding are important aspects that you should promote. Remember to account for such events, as they cost money, and without proper accounting, you will not have the opportunity to spend on them.

Consistently, you should incorporate all these points into your calculations. This starts with vacation pay and Christmas bonuses, training costs, and ends with expenses for company celebrations. Altogether, these amount to about 20% of your income. This means that you should deduct 20% from your total amount for special payments and list it as personnel costs.

If you start from a total amount of €30,000, then €6,000 alone would be calculated for special payments.

Summary – Calculating personnel costs – Special payments for the self-employed

Special payments represent an important part of personnel costs for the self-employed and should not be neglected in calculations. In particular, bonuses, vacation pay, Christmas bonuses, training costs, and company parties contribute to the overall evaluation. To ensure your financial stability, plan about 20% of your income for these points.