FREE FREELANCE CALCULATOR
Freelance Rate Calculator
Estimate a sustainable freelance hourly rate from your target income, annual business expenses, billable hours and time off.
Formula
Rate = (Target income + Expenses) ÷ (Billable hours per week × Working weeks).
Best for
Planning a minimum sustainable hourly rate before quoting freelance work.
Remember
Freelancers usually cannot bill every hour worked. Admin, sales and revisions also consume time.
How the Freelance Rate Calculator Works
The calculator adds your target personal income and annual business expenses, then divides that amount by estimated billable hours for the year.
Why billable hours matter
Sales, marketing, bookkeeping, planning, client communication and revisions may be necessary but non-billable. Using realistic billable hours helps reduce the risk of underpricing.
Example
A freelancer targeting 70,000 in income with 10,000 in annual expenses, 25 billable hours per week and four weeks off would need roughly 66.67 per billable hour before taxes.
FAQ
Does this include self-employment tax?
No. If you want a more conservative planning rate, include expected taxes in your annual target or expenses based on your own circumstances.
Should I charge the exact calculated rate?
Not necessarily. Treat the result as a planning baseline. Market rates, expertise, project risk, urgency, scope and value delivered may justify a different price.
Why use billable hours instead of total working hours?
Because not every working hour is directly chargeable to a client. Using billable hours gives a more realistic rate for many freelancers.
Comparing freelance income with an employed role? Start with the Salary to Hourly Calculator. Evaluating a salaried offer with bonus, hours, and commute time? Use the Job Offer Comparison Calculator. Comparing freelance work with an hourly employee role that includes overtime? Estimate that gross pay first with the Overtime Pay Calculator. For fixed-price client work, turn your target rate and estimated scope into a quote with the Project Pricing Calculator.