Freelance Hourly Rate Calculator
Convert a gross income goal and business expenses into a billable hourly rate.
Example result
- Annual billable hours
- 1,150 hours
- Annual revenue target
- 72,000
The compensation goal is before personal taxes and benefits unless you include them. Nonbillable work is excluded from billable hours.
How to calculate it
The compensation goal is before personal taxes and benefits unless you include them. Nonbillable work is excluded from billable hours.
Worked example
This is an illustrative scenario, not a market benchmark. Select “Reset to example” to reproduce it in the calculator.
- Annual gross compensation goal
- 60,000 currency units
- Annual business expenses
- 12,000 currency units
- Working weeks per year
- 46 weeks
- Billable hours per working week
- 25 hours
Required hourly rate: 62.61
Freelance Hourly Rate FAQ
Why not use a 40-hour billable week?
Administration, selling and training consume time. Use a realistic paid-hours estimate and compare a lower utilization scenario.
What does this calculation leave out?
The compensation goal is before personal taxes and benefits unless you include them. Nonbillable work is excluded from billable hours.
Are my inputs saved or sent to a server?
Calculations run in your browser. We do not send your inputs or results to our server or analytics. A comparison stays in this tab until it is refreshed. A CSV is saved only when you choose to download it. See our privacy policy for ordinary hosting and optional analytics data.
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