Price it for the right reasons
There will be the inclination as an entrepreneur or freelancer to do things for free because you're scared to charge money. The fear of being a fake, of not delivering on your promises and of just being a royal f*&! up tell you to say, "Nope, it's free or damn near free this time." There's also the tendency to not want to give anything away for free because, well, you work so damn hard and you feel like your back is against the wall. "Why should I do anything for a discount or for free? I'm already struggling. Why should I give him a break?'
Although these two scenarios seem different, they're very much so similar because the common thread (you) is the same. And the "you' in this scenario is most often times broke.
So method aside, the outcome is the same and that's enough to tell me it's not a great strategy.
There is a right time to do things for free and at a discount and there is a right time to turn away business that can't afford you. In the beginning when you're building your business or portfolio, getting customers on board is critical so sometimes a discount or even free at first is needed to get the ball rolling. In this case you take a "hit" now with the idea that this will be leverage for future sales and growth…
Part of your pricing model will come from your own belief system (e.g. giving family discounts), some from your competition (what are they charging?) and much of it you will learn as you go along.
And while there is no 'one' right way to charge, there are some basic guidelines:
In times of a down turn (low sales, low clients, etc.) you don't shrink your effort to meet the level of your sales. You grow out of it. Maybe that means another marketing campaign, maybe that's another 20 pitches this week. But you don't shrink. Not ever.
And lastly, if you've been doing this for a long time and you still can't seem to turn a consistent profit, find someone in your field who is making money. Study them and see what they're doing.
Broke is not sexy to me and if you're doing things right, you shouldn't be broke, not forever anyways.