Billing - Payment Policies and Scale
Before reading further, please note that the description of our policies is for the sake of transparency. We want current and future clients to know our estimated rates so that they can properly plan for legal expenses. However, we also recognize that posting these numbers may impose a “sticker shock” phenomenon for some people. The numbers below are only meant to help us charge enough on average to cover our costs and support our mission. The sliding scale is designed to make our services more accessible and humane; it is not a hard and fast rule and we welcome reasonable negotiation on prices.
For Wisconsin law on attorney’s fees, please click here.
Sliding Scale Base Rate Calculations
These tables show how much our legal work generally costs on an hourly basis. The “Base Rate” is the standard expectation. The “Floor” is the absolute minimum rate per hour, and is mainly achieved through the application of discounts. We apply discounts at our own discretion for things such as the reparation of ongoing and/or historical oppression, a client’s ability to pay larger advances, history of service, etc.
Organizational Base Rates ($200-350/hr)
For organizational/business rates, we base the rate on the salary of the highest compensated employee. To achieve the floor rate, we offer discounts for things like membership, large advance fees, ratio of top to bottom compensation/hour <1.25, mission alignment with our organization, anchor institutions, etc.
Advance Fees
Small Axe often starts new client contracts with advance fees unless they are signed up for a retainer. An advance fee is a deposit for services to be rendered and fees to be paid. Advance fees are held in a secure banking account for the attorney to withdraw funds from as they perform services. Funds can only be withdrawn upon billing for legal services at the agreed upon rates and for legal expenses like filing fees. Advance fees are subject to refund upon request if they have not been used, and if any disputes over charges arise, they get settled through arbitration. Usually we calculate an advance fee of 3-6 hours of work. We set a time or condition when the work will be done ahead of time. After this we generally proceed on a monthly billing cycle if there is more work to be done and refund the remainder if we complete our tasks ahead of schedule. This deposit is not meant to be a barrier, but shows some level of mutual investment and readiness to proceed.
Retainers
A retainer is a recurring payment for the reservation of an attorney’s time should any legal questions or concerns arise. If you want a lawyer in general to get to know you and be ready to help with legal matters that may arise from time to time, a retainer relationship is likely the move for you!
The small monthly fee helps us cover overhead expenses and continue to prioritize availability for our long term clients rather than seeking out hourly work. Ideally, this investment is recovered through increased efficiency whenever you do need help and, on occasion, by preventing the need for help entirely. Retainership locks in an hourly rate and waives the need for advance fees. This is a great option for those seeking a long-term, mutually beneficial relationship with Small Axe, even where there isn't currently work to do but some amount of work is expected. The baseline retainer period will be one year with a general intent to renew.
Generally, we charge at least ¼ of the hourly rate/month to retain our service. We welcome additional support in the form of a Mission Support monthly retainer (see table below). This comes out to about 15 -30 minute’s worth of time charged per month to make sure that we are available for consultations and check-ins that our ongoing clients may need. Monthly payments help support our educational programs and service for clients who otherwise may not have access to these services.
Membership
Membership in our organization is just a special retainer relationship whereby the client agrees to contribute to our organization as a member. It requires a retainer of some amount contracted for at least one year. Membership comes with 3 free 1-hour consultations per year and our members participate in our organization’s governance.