Bad Times Ahead for Freelance Writers?

October 23rd, 2008 by Bob Bly

On one of his web sites, Internet marketer Abel Cheng sells a guide to do-it-yourself content creation.

To make the sale, he compares the cost of his product ($17) with the cost of hiring a professional writer.

He says (I kid you not) that the going rate to hire a professional ghostwriter to write a 500-word article is $5.

Not $500 or even $50. But $5. That comes to a penny a word.

The going rate for writing freelance magazine articles used to be a dollar a word, give or take 50 cents.

Now, says Mr. Cheng, a writer is worth a penny a word.

The frightening thing is, Mr. Cheng is right.

I’ve bid out writing jobs for CTC Publishing, my online publishing company, on the Internet — and it’s shocking how little writers will charge to create content.

My question is: who out there is writing articles for a penny a word — and why?

Let’s say it takes you 2 hours to write that article. Your hourly rate is $2.50. Less than half what you’d make wearing a paper hat and asking people, “Do you want fries with that?”

Has freelance writing truly become a commodity?

Or is Mr. Cheng just scraping the bottom of a very deep barrel?

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This entry was posted on Thursday, October 23rd, 2008 at 8:40 am and is filed under General. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

44 responses about “Bad Times Ahead for Freelance Writers?”

  1. Joel Heffner said:

    I recently came across a company looking for writers to post blog entries of 300 words…for $10 each entry…with a maximum of two per week. I guess 3 cents a word is a good price these days? :)

    Personally, I’d rather write articles and put them on my own sites or blogs for free, in hopes of getting potential readers interested in other services.

  2. Bob Bly said:

    Joel: that’s one model for articlel writing. It has been around for decades, and I have used it since around 1980: write articles for free to promote your products and services.

    The other model is to write articles as a profit center in itself, selling them to magazines and newspapers for money. Never terribly profitable, article writing has now scraped the bottom of the barrel for all but a small minority of freelance writers.

  3. dianacacy said:

    I would do a few “cheap” articles – but that’s only because I want to get my name out there. If the publisher is someone who would lead more people to my services. Otherwise, it seems more profitable to write articles and distribute them to the free article sites for people to use.

  4. Mark Nagurski said:

    If writing is becoming more of a commodity then I think the answer is to move up the value-added food chain.

    We’ve adopted a hybrid marketing / writing model. Not only do we write the articles but we also provide consultancy, planning and advice on getting the most from content-led marketing.

    I also think there’s a market of switched-on businesses who realise that they need to create quite a bit of content and don’t have either the time or expertise to do it themselves. Our approach has been to offer them retainer based services.

    Businesses will still pay for quality but I think freelancers need to be more creative in how the offer their services and the models they use.

  5. Bob Bly said:

    Mark: I’m not sure your approach is really working in a market where article writing has become a commoditized skill. I see from your site that you charge $105 to write a single 500 to 700-word article. Twenty years ago or even ten, PR writers were having no trouble getting $1,000 for an article of that length. Now, I wonder if any still are.

  6. Clarke Echols said:

    I have long maintained: Your income is a reflection of the value others put on what you do for them. It has nothing to do with your worth as a person.

    If the “going rate” for work is one or two cents per word, that means your prospect thinks your work is worth that. But what do you think it’s worth?

    If I can compose as fast as I type with no need to go back, review, and edit — 60 words per minute times 60 minutes with no break is $36.00 per hour. (My high-school typing class from 1960 really paid off!)

    Before I retired from corporate life, I was making $75,000/year as a senior technical writer/learning-products engineer. And working about 3 hours/day because I had a *system* that enabled me to get a *lot* done.

    But if someone thinks they can get me to put out for them at a penny or even a nickel per word, they’re smokin’ somethin’.

    You have to add value to what you’re doing and find someone who’s not a doofus to be your client.

    My ISP has a web-development department. Their fee to customers is $150.00/hour. I generally try to hit at least $50, but on a good day, I can do better. But mine is a new enterprise, so I have to put up with a little less until I’m fully established.

    I charge by the job or by the (web) page, rather than by the hour, so if I spend extra time, that’s my choice. I’m looking for a good finished product to establish a sound reputation.

    But I still won’t work for peanuts or less.

    I heard Michael Masterson say you can hire someone to write a book for $2K. That’s less than $10/page (200 pages). If a page is 300 words (I”m guessing here), that’s about 3 cents per word, and may require rewrites and edits on top. So maybe 1-2 cents for blogs is ballpark.

    But it’s a lousy way to make a living, if so.

  7. Mark Nagurski said:

    I completely agree Bob and I doubt many, if any, would earn $1000 for the same.

    Having said that a press release of similar length could command several times my fee – provided the writer has the contacts and handles distribution.

    Similarly, a freelance writer with some blogging skill and knowledge will comfortably demand $20 a blog post – much more if they can handle the marketing … The same goes for someone who can write SEO copy well.

    Even an article writing project can command much more if the topic is particularly technical or requires extended research or involves an interview.

    The figures are certainly not $2 a word but they’re not a penny a word either. If the writing aspects have become commoditised – and I agree they have – then freelancers need to add and demonstrate value.

    In the examples above the value doesn’t come from the writing per se but from having media contacts, research and interview skills, experience in blogging and SEO respectively. The good news is that these are all skills that many freelancers writers and journalists will have or can easily learn.

  8. Cynthia Maniglia said:

    Articles for information sake – gee, we’re on information overload. And a ghostwriter doesn’t really have a persona, a credible voice that’s going to draw an audience – so yeah, $5.

    But to write 500 words for a direct marketing medium (like a web site with a click to buy or a trade mag ad with a phone number to call for more information) without a byline – oh, that’s going to yield way more bucks. After all, your words have to SELL in that situation.

    What are you “selling” as a ghostwriter in 500-word “article?” What’s the publisher’s ROI? There’s no way to even track if the article helps sell more magazines, if say it’s for a magazine, or more newspapers, if for a newspaper.

    But that doesn’t mean don’t do it. Writing an article can be fun and a good boost to the ego for a blossoming writer. So what if he or she got paid only $5? At least it’s a line item on a resume, a start. Something.

  9. Phil Dunn said:

    An article that’s placed in a mainstream publication (or strategically placed in a trade pub) is pure gold, of course. Companies that can do this consistently will get the money they need. However, isn’t the Web (with SEO) the ultimate model for displacing this old system of “knowing the editor?” If you can be a thought-leader in your field, then the eyeballs should get to your articles. That scenario still requires a good writer and good content/ideas. Both of these things are very rare. Scarcity commands price, of course. I don’t quite get this discussion about this chintzy sub-market for penny-a-word slop. I think I’ve seen the articles that are produced (spammy keyword drivel). For years, I’ve kept my eyes open for writers that can handle highly technical subjects as well as persuasion/sales concepts in print. I haven’t found any (except those that have their own niche businesses and can’t be hired away). That’s why I’m still a one-man creative shop (with some research and operational work outsourced).

  10. Louis Burns said:

    There’s also the issue that anyone overseas who can write English can sell cheap content from an Internet cafe.

    There will always be demand for strategic value creation.

    Fortunately, we can now outsource the rest at rock bottom prices.

  11. Wendy Sullivan said:

    A penny a word? That’s insane! I”m homeless and poor, and there’s no way I would agree to that! Mr. Cheng is exploiting writers, and I think that newer writers are ok with being exploited.

    I am fairly new myself, and my more experienced friends get annoyed with my $20/hr rate, because I can undercut them. If someone is only charging $2.50 and hour, they can undercut me. But I suppose there is knowledge and a niche for all levels. My $35/hr friend is more experienced than I. And I am not nearly as RETARDED as someone who only charges $2.50/hr!

    Wendy

  12. Mark Willis said:

    Writing is something we aspire to because it represents one of the finer goals we humans can ever achieve. Your revelation that we can all earn more tossing burgers is a very true one, but our reward is much more than money.

    Imagine if you had your writing gift taken away? How much would you pay to buy it back, if you could?

    My favourite writer of all time was a scientist, Carl Sagan. He wrote for the first time, about science in a poetic, romantic and soulful way. He made the quest for everyone to explore our universe, the noble, exciting and rewarding adventure, it truly is.

    Writers who are capable of creating such beauty, which make the hairs on the back of your neck stand up, ought to be paid at least the same as a doctor.

    When I find someone’s writing that affects me so, I feel I am even more inclined to believe that we are really a wonderful race of beings, after all.

    I’ve written this and recieved no money at all, haven’t I? DOHHHHHHH!

  13. John Hewitt said:

    I believe the root of the problem is that there is so much competition. The Internet has made it possible for everyone who has an interest to enter the market quickly. Many of them have substandard skills, and should be dismissed, but there are many sites that don’t really believe that quality is all that important. They just want pages and pages of content to lure the search engines (which can only vaguely judge quality). These two groups (beginners and hucksters) have set the base rate very low. When legitimate companies see that writing can be had cheaply, it brings down the value of the whole commodity. They offer less. Writers then have to take less. They get used to doing this, and the market adjusts downward. Right now, and for the foreseeable future, there are far more people who want to be writers than there are people who need writers.

  14. dianacacy said:

    In a sense, I agree with John. I’m sad to say I’ve even contributed to this. In the fiction realm, I’ve written for publicity only – or for a physical copy and $2.00 for a piece. Same with graphics. I brought a partner in to create a graphic to go with a poem, and we submitted together to the same publisher. He only received $5 for that graphic. And I pay him $75 to $150 for exclusive rights to one when I need it. And I run an online magazine that’s funded out of my own pocket – but I can’t pay professional rates. But I have plenty of authors submitting to me anyways. I do feel guilty about it with every publication. It’s also a sign that there are more writers out there than there are places to publish. Thanks to free article sites and blogs this is more than true for non-fiction also.

    My approach is that I’ll write an article for a tiny payment if it leads the reader back to me and a possible future sale, or if being published by that particular publisher will look good on my bio or resume. Doing it has to have some kind of benefit for me.

    Marketing articles though, get charged at full price. Ghostwritten articles also are charged at full price. The client is paying me for bringing in sales leads or for saving them time, and that is under my copywriting services.

  15. Steve Rainwater said:

    Hi Bob,

    I make the lions share of my living doing PR writing for industrial clients. I still do a fair amount of work for a few industrial trade pubs also. I made a decision a couple years ago as rates began to drop that I would not do magazine writing for less than $1.00 a word. As a result, I have done a much smaller volume of work (almost none – seems like there is still tons of trade work for .50 per word though). I even compromised to .75 per word, for a pub that give me a regular assignment each month (and that was always their rate). I see magazine work falling off in the B2B area, something I thought would never happen in the new content driven age.

    For PR writing though, I raised my rates this year, and have decided that 110/hr. is my floor. (I bid by flat fee or a retainer in most cases, but my bids are based on 135.00 hr rate – my rate was previously 85). What has happened is that my work volume is less and my income is the same…for now. I honestly do not know if I can match previous volumes in the current economy, but I think the answer is yes. I still believe that it is all about how you market, the real value that you provide, and mostly what you believe about that value. I am convinced that what I do for companies is worth far more than 20.00 hr., and am willing to walk away from opportunities where the work is considered a commodity.

  16. Kristi Holl said:

    I am stunned at the rates you quoted. What kind of writing could you possibly get for a penny a word? You get what you pay for. I thought I had low self-esteem till I read that–but I can’t imagine selling my work so cheaply. What kind of message does that send to clients and publishers?
    Kristi Holl
    Writer’s First Aid blog

  17. Solo Business Marketing said:

    Visit Elance.com and you will find plenty of writers located in non U.S.-locations bidding in the 1-3 cent category to write articles.

    I once saw a bid for $50 to write 500 articles. Of course, I cannot comment on quality, but low writing jobs thrive on the Internet.

  18. Hendry Lee said:

    For certain market, it certainly has become a commodity. But there are always room for “premium articles”.

  19. Dianna Huff said:

    Why do most freelance copywriters aspire to write articles? Is it because of the byline?

  20. Fiona Fell - The Profit Maximsing Web Geek said:

    I have a huge moral objection to buying someones skill for only 2-3 cents per word.

    Perhaps $1 per word for something of some English speaking quality. And up to $2-$3 per word for something that sells my products.

    I have services that make me money and I would be willing to pay a Pro to assist in creating me more customers, so I can get more moeny. And for sharing their skills they should be paid accordingly.

    Profit share, perhaps, but easier for all concerned is a decent rate per project, not per word.

    Fiona Fell
    The Profit Maximising Web Geek
    http://www.FionaFell.com.au

  21. Bob Bly said:

    Fiona: if I can buy the article I need for $5 and it is every bit as good as the writer who charges $500, wouldn’t I be a fool to pay $500?

    The catch, of course, is that 999 times out of 1,000 it WON’T be as good — because you get what you pay for.

    Kristi: the people charging those dirt-cheap rates usually live in foreign countries where they can get along quite nicely on fees that a U.S. writer would starve on.

    Dianna: these aren’t really copywriters. They are freelance writers with minimal skills. Writing short articles is about as much as they can handle, and from the results I’ve seen, they don’t do a very good job even with these relatively easy assignments.

  22. Dianna Huff said:

    Bob, I guess I don’t understand why this market even exists. What is the decision process behind someone willing to write for a few dollars? Is it because they want their name in print?

    My question is, why do people persue it if it pays so little? What is the pay-back?

  23. Amanda Sage said:

    I say that commercial freelancers and copywriters should just go on bloody strike when it comes to writing articles. We make the bulk of our money elsewhere, and it truly is demeaning to value ourselves so low. It’s one thing if you’re selling articles for $5 if it’s for a good cause, and is somewhat excusable when you’re just starting out, but selling dozens of articles for a pittance just for the prestige of a by-line is ridiculous. If we are to be viewed as a credible, respectable and indeed “prestigious” lot, then perhaps we should value ourselves as such and expect that same respect in return!

    People pursue this line of work because they admire the [perceived] sexiness of writing articles and hope that one day they’ll be at the top of a masthead in a major magazine. They think it is so glamorous (never mind the fact that they’re broke) and they fall back on the macabre allure and occasional cult following of the starving artist. In other words, they are lacking confidence and are rather unrealistic about their prospects in life.

  24. Bob Bly said:

    Amanda: there is glamour and prestige (not to mention good pay rates) writing for major consumer magazines like Cosmo, Sports Illustrated, and Esquire. But there is no prestige and virtually no money ghostwriting Internet content articles for $5 each.

  25. Jess said:

    Speaking from a ‘foreigner’s’ perspective, I am not satisfied at all. Someone mentioned a-few-dollar-article, say USD5/article (500 words).

    Guess what, I’m not even getting that. I’m getting a bit higher (numerically; using the 500 word article as an example), but know what, in the currency of my country.

    I’m definitely not dealing with the actual client, and judging from the ONE-MAN-SHOW(a lady) I’m dealing with, I doubt she is dealing with the actual client herself. I’m guessing she gets work from a writing company.

    How do I judge her? Recently for some of the articles I wrote, she emailed me the client’s comments in what she calls ‘feedback’. (The most ridiculous one so far is that the client commented that the content in that particular article is not useful).

    Her approach is like she is almost hands off. She really thinks of herself as a messenger or agent, who does no work. I doubt if she checks the articles. But of course she takes her share, which I am guessing is not much, judging from her responsibility toward the ‘client’.

    On one occasion I was asked to write something that has the word ‘review’ in the title, and the ‘feedback’ was that the article directory did not accept it because the article was promoting a product.

    Know what, I’ve complied to the topic and keywords given, and what she/client is asking me to do is to practically redo. Asking me to do twice when I did nothing but as per instructed and at that DIRT RATE I am getting.

    I simply ignored that email and waited till night (of the same day) to see how she responded. And her response? ‘The client cancelled the article’ because I did not respond to her by her deadline of ‘tonight’. I don’t know if I’ll be paid for this one but guess what, I don’t care because it’s just a few dollars (not USD, but the currency of my country) which can get me an a la carte fillet-o-fish from McDonald MAX.

    Did I mention the articles are mostly 300 words per article? (There are even 200 articles jobs.) And the deadline is usually the next day, sometimes with STUPID TIMES like noon or morning stated.

    YOU DO GET WHAT YOU PAY FOR. I can write very well, but because I’m so insulted, I make sure I don’t do that. Occasionally I exceeded 300 words, I cut off the content on purpose. I’m very familiar with the web and know how to write in an attention catching way, but I’d stop myself too.

    By the way, I don’t come from India or Philippines; close to Singapore though. And I’m getting off all this. These kinds of jobs are better than none, but sometimes, none is even better because IT IS NOT WORTH IT.

  26. Jess said:

    I might add, I don’t think that people who can really write in my country will take on such jobs. (I didn’t know better, but now I do; you’ll only take say, 2 months to find out.)

    It’s the people who can’t write, and who’ll take just about any job, anyway. College students are a good guess (my guess).

    But I don’t think they last; she’ll have to keep getting new writers won’t she? Well good luck to her and all the clients who want PIE-IN-THE-SKY FOR PEANUTS.

    I don’t care whether these clients are from US or elsewhere (possibly even ’3rd world’ countries), if you can’t afford it, DIY (that’s do it yourself) folks.

    P.s : Have you heard of the one asking for cheap rates (less that USD1 per 100 word) and a discount for BULK ORDER on top of that? And oh, if you can give him ONE-LOW-PRICE, he’ll order everything from you (… Oooh, I can’t wait to make a ‘huge profit’ from this one…)

  27. Bob Bly said:

    Jess: the less a client pays, the worse they will treat you — and the reverse is also true. Low-paid Internet articles are the cesspool of the freelance writing trade. Get out now!

  28. Jess said:

    Have you seen the discussions on eLance?

    US writers are complaining of low rates that people from ’3rd world countries’ are offering.

    The irony is that these clients are mostly from the US.

  29. Jess said:

    AND HERE IS THE BEST (and the most ironic) PART – The US clients (intentionally or not) are getting ’3rd world country’ people to write for their audience who are from (guess where?) US.

    (Actually, this is no issue as long as these ‘foreigners’ can write no different from their US counterparts of the same level of writing ability.)

    Do I sound like I’m laughing? Almost, except that I feel more bitter than humor; I’m not even earning US dollars.

  30. Susanna K. Hutcheson said:

    Writers who work for such terrible pay create a problem for themselves and the rest of us and it’s totally unnecessary. I got 1 cent a word when I started out in 1967 and started getting 5 cents in 1968. And, that was “low” then! My first published article paid me the big sum of $5. Writers are stupid to work for such low fees. Unless a writer is young and just starting out, no one should work for slave pay.

  31. Deb Ng said:

    I recently did a poll at FWJ to find out how much writers were paid for their work. Many print writers still claim to get $1 per word or more, however, web writers claim much less.

    One of the problems as I see it is freelance writing is now a “work at home job.” (Insulting) ads claim “anyone can do it, perfect for stay at home moms and college students.”

    Another problem is many of the writers I talk to feel they have to bid low to get the jobs. The Internet has made it a more competitive industry. Many writers will go ahead and accept a $5 per article job to get feet in the door or for the experience, but they wouldn’t consider working for this type of money at a mall job.

    This isn’t something new, by the way. I’ve been writing online since 2000 and have seen rates go way down over the years. Many of the same writers who complain about low wages also accept low wages – so they have to approve of them, right?

  32. Sophia said:

    i wanted to hire virtual employees for web designing and SEO. Actually i am looking for whole virtual team. Because now it’s become very expensive for our organization to recruit employees :( And we need reliable and quality virtual employees.
    We were prepared to post our requisite on freelancers’ site. But we have observed that it’s very time as well as money consuming process. And also I heard that “The bigger problem on Elance, in my experience, is dummy projects. Some buyers post projects simply to get an idea of the cost or to try to find free work” So, what next?
    Our team comes out with conclusion to directly contact companies who are providing virtual employee services. But the question is “RELIABILITY and Hiring charges”.
    We have got replies from some forums and communities. So, now we have one option company http://www.marketraise.com. it’s nice.
    But we want best service provider with better package.

    Thanks in advance
    Sophia

  33. Emma said:

    I have been enjoying working as a “freelance web writer” for a little over a month now. I’ve mostly used Elance and I’ve been bidding low for experience. I’ve had six clients ranging anywhere from $15 for 450 words to $300 for 300 2 sentence blog posts. And I’m enjoying it. I’m learning while getting paid.

    Perhaps I’m contributing to the problem, but I also see it as what I would do for some other professions – volunteering to get a foot in the door, interning, etc. I’m ok with the rates because I am a beginner.

    Will I be after I’ve grown a client referal list and after I have a few years under my belt? Maybe not. But I believe the web will change again in a few years. And right now it’s suiting me fine.

  34. Kathryn said:

    Even in the print world you have companies that pay peanuts (or free copies). It all comes back to personal choice – what are YOU willing to work for? There are jobs that pay $50 for 700 words and jobs that pay $5 for the same – making contacts, building a reputation for quality, ON TIME work, and having a willingness to work with editors will help you build up to the place where you can ask for and get the higher pay for content.

  35. Jim Koscs said:

    It’s easy to get alarmed by the “trend” of so-called “article writers” or “content creators” writing for pennies. But they’re not writing — they’re simply regurgitating and in many cases downright plagiarizing for a market that demands endless “content” (SEO). A real freelance writer, especially one with true expertise in a particular industry, will always be in demand. As for that example of ghostwriting — I ghostwrite a magazine column for an executive for $750. It’s a low fee by my standards, but it only takes me two hours.

  36. David Johnson said:

    It’s those rates that scare the hell out of me because it devalues the worth of a good writer that loves their craft. Most people just want the content for their sites so a search engine will spider it, they don’t really care what it says as long as the keywords are there.

    I have written articles in the past and handle a few blogs for a couple of clients but I charge more than .02 or .03 cents a word. With the rates I charge I pour my heart and soul into it with a lot of research and pressing of the backspace button.

    You can find people that will pay more, the people that want to keep the reader on the site longer than it takes for them to realize that they were duped again by another cleverly written keyword farm with no real substance.

    That’s my two cents anyway (pun intended)

  37. Robert said:

    I think that Bob McKee said it best: Literary (writing) talent is common. Story talent — the ability to tell a good story — is rare. People will pay for story talent, because “good stories, well told” (McKee) are what draw people.

  38. Joe said:

    There has been a notion for some time that print media is dying and everything’s going to go electronic, but it isn’t true. There were new print magazines being created by the hundreds per year over the last several years, and most magazines are doing well.

    There are several aspects to this, and what everyone has been saying so far is spot on. If one American dollar will feed you for a week in your country, then you’ll take a job to write one article for $1, and be very happy with the job.

    Most of the time the writing won’t be of the same quality or in the same sort of feel of a US-based writer. But the jobs which require real expertise in a field or real ability to sell or real wordplay are still very valuable to a client.

    If you have the chops to make $30/hr as a freelancer, you might not know it, and perhaps no one will tell you that you do.

    Internet articles are the “easy answer”, you go to the sites asking for writers, sign up, they say “just write articles, we’ll pay”, and you start writing for $5 or $10 per 400-700 word article. You may be writing at a $30/hr level, but they’re certainly not going to let you know that you are.

    Working for yourself as a freelancer requires an ability to assess your skills, to value your talent and from there to find clients who value such talent as well. It’s a business, not a hobby or a game, if you take time to really assess your skills and to assess the market, you can make it to the upper pay tiers.

    But no one is going to hold your hand and lead you to the upper pay tiers.

    Yes, those 1 cent per word articles are being taken by people who use programs to splice articles together that are already on the web, or they simply resell articles from the free services. It takes them 2 days to “write” those 500 articles, and both they and the buyer are happy with the result. So it is absolutely an apples to oranges comparison, when looking at the real writing jobs.

    The market is changing, and not only are opportunities getting less lucrative, there are also new kinds of opportunities, and there is much more efficiency in the process, so you can get more writing done in a shorter amount of time.

    And really, payment in the territory of $300 for a 500-word article? Perhaps for the very best writing, from the most talented writers, for the best markets.

    There are new trends in the writing arena these days, but it’s important to see why certain things are happening, and to adjust your own strategy accordingly. You make your freelance career what it is and will be, no one else can.

  39. Joe said:

    Something else to consider – those blogs are making maybe $20-50 from each article’s ad revenues, so asking $10 for an article isn’t unreasonable. It’s simply a different market, with different market forces. Back in the day, those print magazines were some major players in the content industry.. what did people have? A little TV, a little radio, newspapers, magazines, and books.

    Not only this, but the print media of that time took “more” in general to keep up and running. Today it probably is a much easier endeavor to create a new print magazine, with much less invested, so naturally this will carry over into how much they’re willing to spend on content for their magazine.

    But, the question to ask is, “What can I offer as a writer which few other people can?”. Then figure out who’ll pay for that specialty that only you can offer. Is there a higher paying market for my services than where I’m at now?

    Figure that out, then start making some changes.

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