Freelance rate calculator

Work backwards from the income you want to the hourly rate you need — after taxes, expenses, time off and the hours nobody pays you for.

Free, no sign-up

Before you use it

Works well for

  • Finding the minimum hourly rate that covers your costs
  • Comparing a job offer with freelancing
  • Setting day rates and monthly revenue goals

Not the right tool for

  • Telling you what clients in your niche will pay
  • Exact tax calculations — rules depend on your country and business type

How to use it

  1. Enter the take-home income you want for the year — what you'd like to have after taxes and business costs.
  2. Add your yearly business expenses and the share of revenue that goes to taxes.
  3. Be honest about billable hours. Admin, sales, invoicing and learning eat a big chunk of every week.

Why freelancers undercharge

The classic mistake is dividing a salary by 2,080 hours (40 hours × 52 weeks). A freelancer doesn't get paid for vacation, holidays, sick days or the hours spent finding clients. Once you account for those, the real number of billable hours is often closer to 1,000–1,300 a year, which can make the rate you need nearly double what you'd guess.

Use it as a floor, not a price

This is the minimum that keeps your business healthy. What clients will pay depends on your niche, experience and the value you deliver — many freelancers price by project or by value once they know their floor.

Frequently asked questions

What billable percentage should I use?

Many freelancers land between 50% and 75%. If you're just starting and still building a client base, use the lower end.

Should I include health insurance and retirement?

Yes — add them to business expenses, since no employer is paying for them.

How is the day rate calculated?

Hourly rate × a normal working day × your billable share, so it stays consistent with the rest of your numbers.