How to Tell in 3 Minutes if Your Social Media Manager Rates Are Actually Profitable (Before Your Business Bankrupts You)
If you're a social media manager setting your rates based on what Ashley from Instagram charges, or what some random blog told you is "industry standard," I need you to pause and take a breath.
Because here's the hard truth: You're running a cute hobby, not a business.
I've watched too many talented social media managers burn out, resentful and broke, all because no one taught them the difference between revenue and actual profit. And darling, they are NOT the same thing.
Your Rates Look Impressive, But Your Bank Account Is Telling a Different Story
Be honest with yourself for a second:
Do you celebrate booking a $1,200/month client but then panic when it's time to pay your own bills?
Have you raised your rates once in the past year but still feel perpetually underpaid?
Are you working more hours but somehow making less money than when you started?
It's not your social skills or your content strategy that's the problem. It's your profit margins.
Most social media managers are running businesses that hemorrhage money faster than a shopaholic with their first credit card. They're chasing higher revenue numbers without understanding what actually ends up in their pocket.
The 3-Minute Profit Check That Will Save Your Business (and Your Sanity)
Let me save you from another month of wondering why your "successful" business still has you eating ramen:
Step 1: Write down your current monthly management rate.
Step 2: Subtract your monthly business expenses (Canva, scheduling tools, subscriptions, contractors).
Step 3: Set aside 30% of what's left for taxes (yes, the government wants their cut).
Step 4: Whatever remains is your actual take-home profit.
Here's the moment of truth: Is that number at least 20-30% of your original rate? If not, you're basically working for free with occasional tips.
Let's Make This Painfully Clear With Numbers
You charge $1,200/month per client. You have three clients. Impressive, right? $3,600 monthly revenue!
But then:
Monthly expenses: $600 (those fancy tools add up)
Taxes (30% of $3,000): $900
Your actual take-home: $2,100
That's $700 per client for what's probably 15-20 hours of work each. You're making about $35/hour IF you're efficient – less than what many people make with zero risk and regular paid vacations.
This isn't just bad business. It's financial self-sabotage.
The Fix: Stop Guessing and Start Calculating
The difference between social media managers who are booked out at premium rates and those constantly hustling for more clients usually comes down to one thing: They know their numbers.
They don't price based on "what feels right" or "what the client might pay." They price based on the exact formula that ensures their business is profitable, sustainable, and worth their time.
💰 Get Your Exact Profitable Rate (Without the Math Anxiety)
Look, I get it. If you wanted to be an accountant, you wouldn't be a social media manager. That's why I created something that does this all for you:
My Booked & Banked Starter Kit gives you:
🧮 The Pricing Calculator that shows your exact profitable rate (no spreadsheets, no guesswork)
🎥 The Irresistible Offer Framework to structure packages clients can't resist
📱 DM scripts that convert followers into clients without sounding desperate
Your business deserves better than "vibes-based" pricing. Let's get you paid what you're actually worth.
