Freelance Rate Calculator

Most new freelancers set their rate by guessing, then find out that admin, time off and tax eat the profit. Start from the yearly amount you want to take home and work backwards. The example numbers are only a starting point, so change them to match your life.

Take-home goal per year

What you want to keep after business costs and tax.

Business costs per year

Software, equipment, insurance, fees, training.

Tax set-aside

Ask a tax professional what is right for you.

Weeks off per year

weeks

Holidays, public holidays and sick days.

Hours worked per week

hours

Billable share of those hours

The rest goes on admin, sales and email. 50-70% is common.

Minimum hourly rate

You need to bill about $0 a year before tax to reach your goal.

$0day rate

0billable hours a year

$0to bill per working week

$0to bill per month

A more honest range

Billable hours are the number that changes most. Here is the rate you need if fewer or more of your hours are paid.

Billable share	Hours a year	Hourly rate

Price a project

Uses the hourly rate above. Add a buffer for revisions and calls.

Estimated hours

hours

Buffer

How it works

Amount to bill = (take-home goal ÷ (1 − tax set-aside)) + business costs
Billable hours = (52 − weeks off) × hours per week × billable share
Hourly rate = amount to bill ÷ billable hours
Day rate = hourly rate × (hours per week ÷ 5)

Costs are taken off before tax in this sketch, because in many places business costs reduce taxable profit. Check how it works where you live.

Three things this tool can't see

Your market. Look at what others charge for similar work. If your number is far above, niche down or show more proof.
Slow months. Work rarely arrives evenly. Keep a cash buffer for quiet months.
Local tax rules. Tax and social contributions differ by country. A tax professional can give you the right set-aside.

Free gift: want a printable pricing sheet and project scope page? Get our free planner pages when you join our list. Get it free

STEP 2

The Small Business Planner Kit

A one-page business plan, pricing sheets, a client and order system and simple income and expense records.

See the full kit

This tool is for planning only and is not financial, tax, legal or investment advice. Talk to a qualified professional about your own situation. We make no income or savings claims. Some links on this site may earn us a commission. Read our disclosure.