strikerazde Loc: Phoenix, AZ

I hear people ask all the time what I change for photography? I usually ask them in return "what is your cost per click? I'm always amazed how many people thinking of becoming pro, or are already pro that have no idea what it costs them to click their shutter. My cost per click is about $6.35. So if I'm shooting a senior photo shoot and charge $300, I break even. (I normally take about 50 shots and reduce down to 20)

Do you know what it costs you to click your shutter? Here's how mine is calculated;
Camera 3,000.00
2 primary lenses 3,000.00
LR4 90.00
PS6 1200.00
Webhosting / domain/email internet stuff 250.00
business insurance 450.00
general supplies lens cleaners, maintenance, filters etc. 500.00
Mileage / car expenses /gas insurance, 0.50 per mile
computer 1500.00
speedlights/triggers/batteries etc 2000.00
Time on a shoot (Approx) 20.00 per.hr
add this all up and I'm sure things I forgot like memory cards, tripods etc. Divide by how many actuation's your camera is rated for and you get a cost per click.

Now the wise ones will say your lens will outlast your camera and should in fact last a lifetime, and you would be correct. I add half the cost of my lens in there as I know I always want a new lens, I have the 85 1.4, and want the 1.2. It's just human nature. So you can do many things to reduce your costs. Take fewer but better photos. Cost your lens over a few camera's, they are an expense and still have to be accounted for no matter how you do it.

If you're not a pro, you still have these costs. Your camera and gear may be cheaper, but the camera is probably rated for less actuation s also. Your cost could be higher or lower depending on what and where you shoot.

Before you ask "What should I charge?" figure out what your cost to click is. Then you can decide what you want to make in profit. Actually the market normally figures this out for you, and most of the time you are looking to lower that cost to click. In my scenario above I strive for 20% profit. So I have to charge 360.00 for the shoot. But I can't outright charge that the market won't bear it here. I know the average client spends 160.00 on my website, so I can charge 200 for the shoot.

For some reason photographers make horrible business people. So lets hear from others, what is your cost to click?

Wall-E Loc: Phoenix, AZ

Could you finish the calculations, please?
You've mixed consumables with capital items and overhead.

jerryc41 Loc: Catskill Mts of NY

You have a good system there. As for photographers not making good business people, most people don't make good business people. That's why so many small businesses fail within a few years. Being aware of your costs and charging accordingly is a major step toward staying in business.

Wall-E Loc: Phoenix, AZ

50% of all new businesses fail in the first year.
And 90% of all new restaurants.

selmslie Loc: Fernandina Beach, FL, USA

A lot of assumptions there, probably way off.

How many of us come close to the maximum rated shutter clicks? As the denominator get smaller the cost per click goes up.

Since all of the additional equipment will be spread over two or more bodies the numerator is really smaller.

The only true incremental cost is the cost of the body divided by the number of clicks you might actually accumulate before you decide to upgrade to a newer body.

It hardly seems worth the trouble to calculate.

PS: We are assuming that shutter clicks are the only count you need. We really don't have any figures for the number of times the aperture for each lens can be actuated or how long the focus motor, meter or other systems will last before they fail. For that matter, how much would it cost to replace a shutter if the rest of the camera is still viable?

Wall-E Loc: Phoenix, AZ

Which is why I wanted to see the formulas he used.

strikerazde Loc: Phoenix, AZ

All good points, and things that need to be considered. My point was that most have no idea there is a cost involved to click their shutter, I just want to get them thinking about it.

jerryc41 Loc: Catskill Mts of NY

This is similar to cost per mile for a car. Add up how much it has cost you to buy and maintain your car, and you get total cost. If you drive a lot, your cost/mile is lower. When you get rid of your car, you can figure in how much you got for it, and the same would apply to a camera. If you pay $2,000 for it and sell it for $500, your purchase cost is $1,500.

Annie_Girl Loc: It's none of your business

I’ve said this many times the $50 a session put it all on a disk photographers, may think they are making money but they aren’t, they are slowly working themselves into the poor house by subsiding their photography “business” with other income.

Many here have questioned my pricing structure and said it is too high, but they forget that photography really is a luxury item, no one needs boudoir photography to survive and I don’t have to cater to everyone out there and I really don't want too.

I have rent I need to pay, utilities that need to be paid, gas for my car, software and hardware that needs to be purchased, camera equipment that needs to be replaced, insurance that needs to be purchased, taxes that need to be submitted, and a ton of other business related expenses that need to be accounted for and paid for even before I start to become profitable. Running a photography business is not CHEAP and being profitable is high on my list of priorities.

strikerazde Loc: Phoenix, AZ

Now there is one smart photographer! ..

Annie_Girl Loc: It's none of your business

well same to you, you have figured out the hardest part in running a business, price yourself correctly. :thumbup:

PrairieSeasons Loc: Red River of the North

Not to mention the divisor in the equation. How many clicks?

jerryc41 Loc: Catskill Mts of NY

Remember the "subtrahend" and the "minuend"? The best part of math class was when it ended. :D

JPL

Yes, photography is expensive hobby and for many a cheap business.

I agree to this calculation, it is not far from fair except I think you should value your time more than $20 an hour. I think $40-50 pr. hour is more reasonable.

Annie_Girl Loc: It's none of your business

This is how I worked out my pricing.

Monthly Business Cost List:
 Cell Phone: $59.00
 Equipment purchases: $500
 Photo gallery: $15
 Hosting: $6.99
 Marketing: $100
 Business cards: $10
Total: $693

I used one session per week as my goal because I want to be profitable but I don't want to be unrealisic and set my booking goal to high.

$693 and divide that into 4 (total sessions per month) = $173 for each session.

Time Spent List:
 30 minutes for consult and email reminders
 30 for location scouting
 1 hour for shooting
 3 hours for editing
 1 hour for gallery preview with client and ordering
Total: 6 hours per client

I charge $30 per hour.

My formula:
Time x your hourly cost = total personal pay + Business cost per month / amount of monthly sessions = total business cost per session = Total Session Price (not including prints)

6 hrs x $30.00 = $180

$693 business cost / 4 session minimum = $173
Total = $353 per session

I charge $350 for a session fee with a $700 print order minimum ($150 of the session fee is credited back to my client to be used toward their prints costs).

I now have studio rent and all the utilities and expenses that go along with, but I have been booking more than 1 session a week so I have not had the need to revamp my prices.