From Developer to AI Consultant: A Technical Guide to Charging $300/hr

Developers are uniquely positioned for AI consulting. You already understand APIs, data pipelines, system architecture, and deployment. The gap is not technical — it is packaging, pricing, and positioning. Here is the concrete framework I use to run AI consulting engagements at $300/hr. Why Developers Undercharge for AI Work Most developers think about pricing like this: My salary: $150K/yr Hourly equivalent: ~$75/hr Freelance markup: +50% Rate I charge: $112/hr This is wrong. Consulting pricing is based on value delivered , not time spent. When you automate a process that saves a company $200K/year, charging $50K for that project is a bargain for them — even if it took you 40 hours. The Three Service Tiers I structure every engagement into three phases. Each phase has a fixed deliverable and a fixed price. Tier 1: AI Discovery Audit ($3,000 - $5,000) Duration : 1-2 weeks Deliverable : Written report identifying automation opportunities This is your entry point. Low risk for the client