Potential Fee Structures

Designers work with different types of fee structures that vary widely based on the nature and size of the project, geographical location, and the specific designer. The majority of designers use one or more of the following fee structures:

• Fixed fee (or flat fee) – a specified sum to cover the cost of the project, exclusive of reimbursement for goods and expenses.

• Hourly fee – calculated based on the actual time spent on the project or incurred providing a specific service.

• Percentage fee – computed as a percentage of the total costs of goods and services provided.

• Cost plus – the designer purchases the materials, furnishings, and services and sells to the client at the designers cost plus a specified percentage previously agreed upon.