A Reflection on Legal Prices Via the 12 Days of Christmas Inflation Index
Every year, one of the most entertaining, yet often under-reported economic articles published comes from PNC Bank, the 12 Days of Christmas Inflation Index.
In 2010, if you were going to buy your true love all of the items, from the partridge in the pear tree to the twelve drummers drumming, you’d spend a modest $96,824. That’s a staggering 9.2% increase over last year, the second highest jump ever.
Lemme tell ya something: your true love ain’t worth it.
Granted, the five gold rings throw a wrench in the whole equation due to the rising price of commodities, and for some reason nine ladies dancing enjoyed a large price increase this year.
So how about your rates? I know there’s a lot of downward pressure in the legal market these days, what with 40,000 new kids graduating each year, technology that automates a lot of jobs, and a general decrease in business spending.
But the fundamental question to ask yourself is, are your rates priced appropriately? How do you set them? Based on data, past performance and metrics from your historical matters, or because of what the guy across the street is charging?
It may be that calculating your legal fees seems like a daunting, impossible task. But we’d at least like to put it out there that there can be method to the madness and that if you haven’t thought about your fees in a while, you cuddle up with some eggnog this weekend or through the new year and give it some thought.