Pricing Your Artwork

What every artist should know before putting a price tag on their work

The pricing of artwork can be a delicate matter for emerging artists. But if art is your business and income, it should be a key factor. Knowing what to charge could make the difference between your art business succeeding or failing. 

As it is not an easy task get an overview of the common standard hourly rate for artists in Australia, I have included  the common rates for Australian Artists Fees & Wages from the publication "The Code of Practice" by the "National Association For the Visual Arts".  ​
Australian Artists Fees & Wages
By NAVA
Australian Fees & Wages Guideline.
Recommended Artists Rate
Regional Arts
Fair Wages and Conditions for artists.
Artslog
​Stories
Artslog
Artists  log working conditions.

13 Reasons For Fair Pay

When I entered this profession, I was intimidated about asking for a reasonable amount of money, almost felt guilty about accepting what was fair. ​

Never Stumble when telling your price, “but be confident in asking what is reasonable for the work you do.
Only once I discovered what my colleagues in the industry were charging for their services did I realise that I was drastically underselling my work.  My clients seemed to sense my nervousness about pricing, which made them sceptical about my pricing strategy. As soon as I was convinced of my right  to request a reasonable price, they seemed to have less trouble with my pricing structure and I made in the end more money, not less.
 
To give you an example, you may decide to sell an artwork for $100 instead of its genuine value, a $1000, because you believe that no is willing to pay more. But you feel pressured as you spend money on supplies, but you never see it again.  
​
I realise now that my prior approach to making art was profoundly flawed. Just give it some thought. We can theoretically lose up to nine clients if we decide to sell an artwork for $1,000 as opposed to $100 until the right buyer comes along. We also save a lot of time because we don’t have to create nine additional works to get the same outcome. Selling below cost is illogical.

In the end, I learned why it’s crucial to demand a fair and respectable wage when working on commissions. And I want to share those revelations with you since they helped me remain confident in pricing my work.

​

Insurance   001

As a professional freelance artist, you may need these insurances: public liability, transit of artwork, damage to artwork, studio content, fire and theft to protect your studio. Because you are not getting paid when you are ill, you might also think about accident or loss of income insurance.

Superannuation   002

Freelancing entails managing your superannuation, thus you must include the standard employer contribution rate of 9% in your pricing since you must establish an investment fund on your own.

Workers Compensation   004

As a freelancer, you are not protected by the workers' compensation law, so you are responsible for your own injuries. This means you'll need workers' compensation to cover such situations. 

Arts Education & Training   005

Artists put time, effort, and money into some form of arts education. And some will make further educational investments along the way. Your abilities result from an investment you’ve made. While some of you were studying, others still spend time to learn their craft and on materials. You could have made an income during this time instead you paid for training.

No Payments When Sick  006

Another justification for fair compensation is the lack of standard paid sick days or long service leave, all of which need to be factored into your budget. 

No Holiday Pay   007

You have the right to a yearlong vacation like any regularly employed person does. This is crucial for both you and your client since you must keep in mind how much a relaxing vacation may inspire an artist's creativity. And a successful business takes this into consideration. 

Legal Contracts   008

Contracts or legal advice cost money. Even if you purchase certain contracts inexpensively from the Arts Law Centre, you still paid for them so that your client and yourself have the best outcome without any legal problems. Many unprofessional artists run into all sorts of difficulties, not letting customers sign contracts. In the case of commission, I have discovered that if the customer feels uneasy to validate your agreements in writing, you don't want the job. Trouble usually results if the customer is reluctant so sign.

If you explain that once a fee is agreed upon, a verbal contract is legally binding; hence, a contract is necessary legally for the benefit of both the commissioner and the artist. There is no excuse not to sign.

Marketing   009

Work simply does not come in on its own for an artist. We must invest money on marketing to some extent, whether it is for a website, printed materials, business cards, etc. Even if you invest time and money in public relations to market yourself to potential clients, networking takes up significant time whether you are successful or not. 

Portfolio   010

In order to conduct business, you must professionally show your artwork, whether it takes the form of images, prints, copies, or an internet presentation. It might be expensive to put together a polished and current portfolio. 

Studio Rent   011

You pay rent, whether you have a separate commercial studio or work from home. If your studio and office take about 30% of your living space, you can claim 30% of your rent. So with electricity, water and other costs involved for using a space to produce your art. When you own a home, it is better to speak to an accountant because if you claim for a space that is your own, you might have to pay income tax when selling it.

Art Materials   012

It is undeniable that artists incur a great deal of costs for supplies, and I am not referring to materials used for commissions, which need to be included in the fee by default. It is the materials you invested in to reach your current level of skill proficiency. Don’t undervalue the money you have invested in your experiments and trials throughout the years. 

Website & Social Media   013

Every artist needs a website these days, and it cost money and time to keep it updated, moving and alive. So, too, if you use any type of social media. It is mostly the time that runs through your fingers when marketing through social media.

Pricing Your Artwork

​If you work on a commission, the norm is to price your artwork on an hourly rate plus materials basis. However, remember that commission-based work is priced differently from gallery exhibits, which again we evaluate independently from licensing arrangements.


​Here are some points to consider when deciding what to charge for artwork offered to your clients:
​

Price your artwork well with thought and common sense.
  • KNOW YOUR WORTH  Do some research and collect information about what your peers, with similar skills and experience, charge. Knowing your charge-out rate is critical in determining how to price your commissions, your licensing fees or exhibition pieces. Get familiar with the Australian pricing standards, and base your prices accordingly.
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  • EXHIBIT CONFIDENCE  Once you have determined that your rates are both fair and reasonable, feel confident in communicating those rates to clients and prospective patrons. If you are certain that your rates are reasonable, you’ll be able to convince others to agree. Otherwise, your pricing of artwork might seem unreasonable to buyers or exhibitors alike!
 
  • DON'T SELL YOURSELF SHORT  Just because a competitor undercuts you in pricing, doesn’t mean you have to sell yourself short! True art-lovers recognise the worth of a work, and reducing your rates will only make them suspicious (or doubtful!) of it. Clients must recognise your work situation and respect your status. Payments for freelancing artists should acknowledge that art workers handle disability or sickness insurance, and are accountable for any faulty works. And they don’t receive any of the usual benefits we entitle any employee. This includes paid sick days or superannuation or long service benefits. They have to cover insurance costs and deal with sporadic cash flow problems. Bear the costs of establishing and maintaining a fully equipped studio or workspace, whether working on commissions or for exhibitions. Finally, the cost of professional growth and training is substantial and covered by the self-employed.
 
  • KNOWING HOW TO PRICE YOUR COMMISSIONS or determining the price of an exhibition piece, is about believing that ONLY YOU have the talent and skills to do what you do. So why should pricing your artwork be dictated by how someone else prices theirs?
 
  • BE CONSISTENT Always price your artwork consistently across distribution channels. Your reputation can be permanently tarnished if a customer finds a piece of yours at an open market auction that is cheaper than what they paid in an art gallery.     
 
  • DON'T OVERPRICE EITHER! Avoid the temptation to raise your prices significantly just because you can. Pricing your paintings sensibly is the key to your art business success if you want to last and flourish in the Australian art scene for the long term. 

The Ultimate Artwork Pricing Resource

Whether you wish to learn how to price your commissions or what to charge for artworks based on a licensing arrangement:

The Code of Conduct, available from NAVA is a remarkable resource that every Australian art business owner should be familiar with.  There is a tonne of information and helpful tables for all different types of pricing in the arts sector, be it for employment or freelancing situations:
  • Fees for studio space
  • Copyright fees
  • Illustration fees
  • Information for public and new media artists
  • Loan fees
  • Rates for teaching art
  • …and lots more!

​As an art business owner, you may also consider a paid membership at the NAVA. Your peers at the Association could teach you a lot about how to set the price for your paintings as well as other subjects important to owners of art businesses.