How to Set Your Hourly Rate as a New Solo Attorney
Setting your hourly rate is one of the first — and most stressful — decisions you'll make as a new solo attorney. Charge too much and you lose clients. Charge too little and you can't pay rent.
Here's a practical framework that removes the guesswork.
Step 1: Research your local market
Your rate needs to be competitive for your practice area and geography. Here's how to find the going rate:
- Check your state bar's economics survey — most state bars publish annual reports on attorney compensation by practice area and experience level
- Search Martindale or Avvo for solo attorneys in your area and practice area — some list their rates publicly
- Ask colleagues — other solo attorneys are often willing to share their rates privately, especially in bar association groups
- Check the Laffey Matrix — used by federal courts, it provides reasonable hourly rates by experience level (useful as a benchmark even if you're not in federal practice)
Typical solo attorney rates (2026):
| Experience | General range |
|---|---|
| 0-3 years | $150–$275/hr |
| 3-7 years | $250–$400/hr |
| 7-15 years | $350–$500/hr |
| 15+ years | $400–$700/hr |
These vary significantly by location (NYC vs. rural Kansas) and practice area (patent law vs. family law).
Step 2: Calculate your minimum viable rate
Before you pick a number, figure out what you need to charge:
The formula
Target annual income ÷ Billable hours = Minimum hourly rate
But the inputs matter:
- Target income: What you need to live on + firm overhead (rent, insurance, bar dues, software, etc.). For most new solos, this is $80,000–$150,000.
- Billable hours: Be realistic. Solo attorneys typically bill 1,200–1,500 hours/year (not 2,000+ like BigLaw associates). The rest of your time goes to marketing, admin, and business development.
- Collection rate: You won't collect 100% of what you bill. Plan for 85-90% collection.
Example calculation
| Item | Amount |
|---|---|
| Target take-home | $100,000 |
| Firm overhead | $40,000 |
| Total needed | $140,000 |
| Billable hours (realistic) | 1,300 |
| Collection rate | 85% |
| Minimum rate | $140,000 ÷ (1,300 × 0.85) = $127/hr |
That's your floor — the minimum you need to charge to make the math work. Your actual rate should be above this, ideally aligned with market rates from Step 1.
Step 3: Pick your rate and own it
Common mistakes new solos make:
Don't anchor to your associate salary
"I made $X at my old firm, so I should charge $X/hour" — this ignores overhead, non-billable time, and the fact that your old firm charged clients 3-4x your salary.
Don't be the cheapest
Competing on price attracts price-sensitive clients who are harder to work with and more likely to dispute bills. Position yourself as affordable, not cheap.
Don't use odd numbers
$350/hour sounds more established than $337/hour. Round to the nearest $25 or $50.
Do start slightly higher than comfortable
It's much easier to offer a discount than to raise rates. If you think $300 is right, start at $325 and see how the market responds.
Step 4: Know when to raise rates
Plan to review your rate every 12 months. Signs it's time to increase:
- You're turning away clients (demand exceeds your capacity)
- You haven't raised rates in 18+ months
- Your effective hourly rate (collections ÷ hours worked, including non-billable) is below your target
- Comparable attorneys in your area charge more
How much to raise: 5-10% annually is standard. Notify existing clients 30-60 days in advance, and apply the new rate to new matters only.
Track your time accurately — it matters more than your rate
The best hourly rate means nothing if you're losing billable time to poor tracking. A solo attorney billing at $300/hour who captures 90% of their time earns more than one billing $350/hour who captures 70%.
SoloFlow helps you capture every billable minute with one-click time tracking, automatic 6-minute rounding, and instant invoicing — for $29/month flat. Try it free for 14 days, no credit card required.