How to Price Your Accounting Services for Maximum Value (Without Hourly Billing)

gabi • April 8, 2025

Pricing services correctly is a fundamental challenge many accountants face. Get it wrong, and you're either undervaluing your expertise or risking client dissatisfaction. Traditional hourly billing, often considered standard practice, frequently leads to confusion and frustration among clients, primarily due to unexpected or unclear costs.


Mark Wickersham, a chartered accountant and renowned pricing expert, advocates strongly for value pricing, which is an approach focused on the value clients perceive in your services rather than just costs.


What is Value Pricing?


Value pricing involves setting your prices based on the value you deliver to clients, rather than simply calculating costs and adding a margin. Hourly billing inherently ignores customer expectations and often leads to "surprise bills." Value pricing, instead, begins with understanding client needs and expectations.

Unlike traditional pricing methods that focus on costs and time spent, value pricing considers the outcome and the benefits your service provides. When clients see clear value in your offering, they are more willing to pay a price that reflects that value.



Why Hourly Billing Falls Short




Hourly billing has been the standard approach in many accounting firms, but it creates several issues:


  • Lack of transparency: Clients dislike receiving invoices with unexpected charges.
  • Encourages inefficiency: Firms are rewarded for spending more time rather than delivering results faster.
  • Limits profitability: The only way to earn more is to work more hours, creating a ceiling on potential income.


Value pricing eliminates these issues by ensuring fees align with the tangible benefits clients receive. Instead of measuring time, accountants can focus on delivering results and improving service quality.



The Three Stages of Value Pricing




1. Uncover the Value


Understanding what clients truly need is the first step in implementing value pricing. This involves in-depth conversations to identify their pain points, goals, and expectations. Some key questions to ask include:


  • What are your biggest challenges with your current accounting setup?
  • What financial insights would help you make better business decisions?
  • How important is real-time access to financial data?
  • What level of reporting and analysis do you need?


By asking these questions, you gain insight into what clients value most, allowing you to tailor your pricing accordingly.


2. Build the Value


Once you understand a client’s needs, the next step is to communicate how your services solve their problems. This step is crucial because clients need to see the direct connection between your expertise and the benefits they’ll receive.


Consider presenting value pricing in a structured way by offering different service levels. The "menu pricing" approach, where clients choose from Bronze, Silver, and Gold packages, allows them to select a solution that fits their needs and budget.


When building value:


  • Clearly define what each package includes.
  • Highlight the benefits of each option, not just the features.
  • Provide case studies or examples of past success.


3. Capture the Value


The final step is setting a price that reflects the true value of your services. Rather than basing your fee on costs, it should be determined by the results your clients achieve.


When presenting your price, always do so in person or via a live meeting. Sending a proposal without discussion risks clients focusing only on the numbers rather than understanding the value behind them. A face-to-face conversation allows you to:


  • Explain the reasoning behind your pricing.
  • Address any concerns immediately.
  • Adjust service options based on client feedback.


Using Psychology to Strengthen Value Pricing




Clients often struggle to assess pricing objectively, which is why psychology plays a key role in the decision-making process. The way you structure and present your prices significantly influences how clients perceive value.


1. The Power of Choice


Giving clients multiple pricing options, such as Bronze, Silver, and Gold tiers, helps them feel in control. When people see multiple choices, they are more likely to pick one rather than reject all options.


2. Anchoring Pricing Perceptions


Anchoring is a pricing strategy where you present a higher price first, making subsequent options appear more reasonable. For example, if you introduce a premium service at £2,000 before mentioning a mid-tier option at £1,200, the lower price feels more affordable in comparison.


3. Framing the Price Based on Benefits


Rather than just stating a monthly fee, connect the price to its impact. Instead of saying, “This service costs £500 per month,” frame it as, “For just £500 a month, you gain real-time financial insights, proactive tax planning, and personalised business growth strategies.” This approach reinforces the value behind the price.


Systematising Value Pricing with Effective Pricing


Successfully implementing value pricing requires a structured approach. Many firms struggle because they rely on manual methods, making it difficult to consistently apply the model.


This is where pricing software, such as Effective Pricing, becomes essential. The Value Pricing Academy’s Effective Pricing software helps accountants:

  • Automate pricing discussions with structured client interactions.
  • Provide real-time adjustments based on client preferences.
  • Create transparency by involving clients in the pricing process.


By integrating a pricing system, firms can ensure consistent, fair, and profitable pricing that aligns with their client’s needs.


The Business Impact of Value Pricing


Firms that transition to value pricing experience several key benefits:

  • Higher profitability: Clients are willing to pay more when they understand the value they receive.
  • Stronger client relationships: Transparent pricing fosters trust and reduces misunderstandings.
  • Scalability: Value pricing allows firms to increase revenue without simply working more hours.

Many accountants who have implemented value pricing have seen their fees increase by two to three times without losing clients. This is because clients appreciate knowing exactly what they’re paying for and the results they can expect.



Making the Switch to Value Pricing



Shifting from hourly billing to value pricing requires a mindset change, but the rewards are well worth the effort. To successfully transition:


  1. Start small – Implement value pricing for a few key services before applying it firm-wide.
  2. Communicate effectively – Clearly explain the benefits of value pricing to clients.
  3. Use the right tools – Leverage software like Effective Pricing to streamline the process.



Try Effective Pricing


Ready to take the guesswork out of pricing? Try Effective Pricing and confidently set prices that reflect the true value of your services.


By adopting value pricing, you ensure that your fees reflect the expertise and impact you bring to your clients. This approach not only enhances profitability but also strengthens client trust—creating a win-win for both accountants and their clients.

Why Giving One Price Is Always the Wrong Price

By gabi • June 13, 2025
“When you give one price, it’s always the wrong price.” — Teresa Slack It’s a common scenario. A prospective client asks for a quote. You review their details, estimate the work involved, and deliver a single price. Their reaction? They hesitate. They ask for a discount. Or worse—they ghost you completely. The issue isn’t that your price was too high or too low. The real problem? You gave them only one option. Why One Price Doesn’t Work A single price turns your service into a yes-or-no decision. You’re putting pressure on the client to either accept or reject your offer—without the context of value or flexibility. Even if you believe your price is fair, your client may not be ready to commit without understanding what they're really paying for. Plus, you’re locking yourself into a number that may not reflect the complexity, needs, or expectations of the client. The outcome? You either: Undercharge (and resent it later), or Overcharge (and lose the deal) Neither serves you or the client. What Clients Really Want: Control and Clarity In today’s world, clients expect transparency. They want to know: What they're getting Why it costs what it does What options are available They want to feel in control of the buying process. When Teresa Slack shifted to letting clients "build their own package" through Effective Pricing, everything changed. Clients began engaging with the process, asking better questions, and ultimately choosing higher-value packages themselves. The Power of Presenting Options Instead of giving a single number, offer clients a structured choice: Entry Level Full Service Premium Experience Or even better, let them dynamically adjust their selection based on scope. When clients see the value behind each service line, they make better-informed decisions. You move from price being a sticking point to it being a reflection of value. Teresa shared how one client increased their monthly fee by 204% after going through this process. Why? Because he realised everything that was on offer—and valued it. How to Present Pricing the Right Way Here’s how you shift from pricing resistance to pricing confidence: Scope Before You Quote Start with a discovery session or diagnostic review. Uncover: Volume and complexity of work Pain points and priorities Desired outcomes Use Interactive Pricing Tools Forget spreadsheets and static quotes. Use tools like Effective Pricing to: Show real-time price changes based on scope Let clients see what’s included Build transparency into every quote Let Clients Shape Their Package Allow toggling options on or off. If the full package is too expensive, don’t discount—adjust the scope. “We don’t discount. We remove services.” — Teresa Slack From Negotiation to Collaboration This approach changes the nature of the sales conversation: Old way: "Can you do it for less?" New way: "What if we removed reporting or payroll support to reduce the price?" You’re no longer justifying your fee. You’re collaborating with the client to find the right fit. That builds trust. That wins work. Conclusion: Stop Pricing in Absolutes If you’re still offering one quote per client, you’re missing a huge opportunity to: Position your value clearly Increase your average fee Build better client relationships The right price is the one the client chooses—because it reflects what they truly care about. Try Effective Pricing Want to see how flexible, transparent pricing can transform your firm? 🎯 Book a free demo of Effective Pricing and discover how to: Price confidently Scope accurately Convert more clients → Try it now and give your clients a choice they’ll actually value

The Biggest Mistake Firms Make When Switching to Value Pricing (and How to Avoid It)

By gabi • June 6, 2025
Think you’ve moved away from hourly billing and embraced value pricing? You might not have. For many bookkeeping and accounting firms, pricing remains the Achilles' heel. Despite good intentions, most who "switch" to value pricing actually end up using fixed pricing—and they don't even realise it. On the surface, it feels like progress. But under the hood, it's often just the same problem dressed differently. In this article, we’ll explore the most common misstep firms make when transitioning their pricing models, why it matters, and how to make a true shift to value pricing that increases revenue, improves client relationships, and restores profitability.

She Was Losing Money on Every Client—Until One Pricing Change Turned Everything Around

By gabi • May 30, 2025
"There were times we couldn’t make payroll. We pulled money from our personal investments just to pay staff." That’s how bad things had become for Teresa Slack, co-founder of Financly Bookkeeping Solutions. On the surface, her business looked like a success. It had a growing client base, a team of skilled staff, and years of momentum behind it. But underneath, the numbers told a different story: they were barely breaking even, despite all the hard work. The culprit? Outdated, ineffective pricing. Meet Teresa and Financly Based in Ontario, Canada, Financly is a virtual bookkeeping firm specialising in e-commerce businesses, particularly those selling on Shopify and Amazon. With a team of 10 working remotely across Canada and Europe, Teresa and her sister Connie built a thriving niche-focused firm. But as the business grew, so too did the pressure. In the early days, they charged hourly rates as low as $18, later increasing to $35. Eventually, they transitioned to fixed pricing, offering packages at $200, $300, and $400 per month. But even that wasn’t enough. The business couldn’t sustain the team they had built. "We were paying our staff more than what the clients paid us," Teresa recalled. Overworked, Underpaid, and Out of Options Despite having more than 100 tax clients and 50 consulting clients, Teresa and Connie weren’t paying themselves. They were burning out, fast. "It was incredibly stressful because we knew we needed to do things differently, but we didn’t have any money." Then came a pivotal moment: a conference in Toronto where they first heard Mark Wickersham speak about value pricing. The Lightbulb Moment They joined the Value Pricing Academy and soon learned they had been confusing fixed pricing with value pricing. The difference? With fixed pricing, every client pays the same. With value pricing, every client pays according to the unique scope of their needs. They began trying to build their own pricing models in Excel, but it was clunky and time-consuming. That’s when they discovered Effective Pricing . "You cannot do value pricing easily without this amazing tool," Teresa said. Putting It to the Test Teresa used Effective Pricing for the first time with a new client. She was nervous. "My heart was pounding. My mouth was dry. I didn’t know how it would go." But the result was astonishing. The client loved the process. They appreciated the transparency, the ability to select what services they wanted, and how the pricing adjusted dynamically based on scope. The outcome? A 204% increase in pricing. Reinventing the Sales Process Since then, Teresa has redesigned her entire sales approach. She now begins with a paid diagnostic review to uncover scope and pain points. Only after that does she present pricing using Effective Pricing. This two-step method means clients see the value before seeing the price. And Teresa can tailor each pricing conversation with precision. "When you give one price, it’s always the wrong price. Clients either ask for a discount or say no. Now, if a client thinks the package is too much, we remove services. We don’t discount." The Transformation: Financly 2.0 Financly is now thriving. The business is profitable. Staff are paid well and enjoy benefits. Teresa and Connie now take a salary. The firm is approaching $1 million in annual turnover. And clients? They now pay what they’re truly worth. "We have clients paying $4,000 a month for bookkeeping," Teresa said. "Ten years ago, I couldn’t have imagined that." Hidden Wins The benefits didn’t stop at pricing. Miscommunication has plummeted. Clients now see exactly what is and isn’t included. Upsells are natural. Clients return months later to add more services they saw during onboarding. Client fit has improved. Teresa now works only with clients who respect and value her work. Teresa’s Advice to Bookkeepers and Accountants "If you’re struggling, working long hours, and undercharging, make the leap to value pricing. The shift will let you attract better clients, do better work, and actually enjoy your business again." Ready to Make the Shift? Explore how Effective Pricing can transform your practice, just like it did for Teresa Slack. → Learn more and sign up for Effective Pricing today.