How do I calculate my freelance hourly rate?

Add up your desired annual income, self-employment taxes, business expenses, and a profit buffer. Divide that total gross by your annual billable hours (total hours minus non-billable time such as admin and marketing). This gives your minimum hourly rate.

What is non-billable time for freelancers?

Non-billable time is hours you work that cannot be charged to clients — things like writing proposals, bookkeeping, marketing, networking, and administrative tasks. Most freelancers lose 20–30% of working time to non-billable activities.

How much should I set aside for taxes as a freelancer?

In the US, self-employed people pay 15.3% in self-employment tax plus federal and state income tax, so most freelancers set aside 25–35% depending on their income bracket. In the EU, combined rates typically range from 35–50%.

💼 Freelancers & Contractors ⚡ Live Calculation 📊 Income Breakdown 🗂️ Project Estimator

Freelance Rate Calculator

Stop guessing your rate. Enter your income goals, expenses, and schedule — get your ideal hourly, daily, and monthly rate instantly. No fluff, no signup.

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Income Goal

Your desired annual take-home pay

Desired Annual Take-Home Income

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Work Schedule

Hours worked and time off per year

Hours Per Week 40 hrs

5 hrs80 hrs

Weeks Worked Per Year 48 wks

20 wks52 wks

🌴 4 weeks vacation & holidays

Non-Billable Time 20%

0%60%

📋 Admin, proposals, marketing, meetings

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Monthly Business Expenses

Costs to run your freelance business

Software & Tools

Marketing & Ads

Equipment / Gear

Insurance

Office / Coworking

Other Monthly

Monthly total: $400 · Annual: $4,800

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Tax & Profit Buffer

Protect against taxes and slow months

Self-Employment Tax Rate 25%

5%55%

Profit Buffer / Savings 10%

0%40%

🔒 Emergency fund, retirement, slow-month buffer

Your Freelance Rates

Updates live as you type

Minimum Hourly Rate

$0.00

Gross needed: — / year

Rate Level —

EntryMarketSeniorPremium

Daily Rate

8-hour day

Weekly Rate

Billable hrs only

Monthly Rate

Gross needed

Annual Gross

Before expenses & tax

Billable Hrs / Year —

Billable Hrs / Month —

Working Days / Year —

📊 Where Does Your Money Go?

Annual income breakdown — see exactly what you need to earn and why

🗂️ Project & Retainer Pricing

Turn your hourly rate into project quotes and monthly retainers

Project Estimator

Estimated Project Hours

hrs

Markup Type

Project Quote $0

Quote Range $0 – $0

Monthly Retainer Builder

Committed Hours / Month

hrs/mo

Loyalty Discount

Monthly Retainer $0

Client Saves $0/mo vs hourly

⚖️ Scenario Comparison

Compare two different setups to see how changes affect your rate

Scenario A — Current Settings

Scenario B — What If?

Target Income

Hours/Week 40

Weeks/Year 48

$0/hr

—

📜 Calculation History

Your last 5 saved calculations — click Load to restore any of them

No calculations saved yet. Hit Save in the results panel above.

💡 Rate-Setting Insights

Smart pricing habits that protect your income

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Raise Rates Annually

Increase your rate by 5–10% each year to offset inflation, gain recognition for growing experience, and filter out low-value clients.

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Benchmark Your Market

Research what others in your niche charge on Upwork, LinkedIn Salary, and Glassdoor. Your minimum rate and your market rate should align.

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Value-Based Pricing

For high-impact projects, price based on the outcome you deliver — not just hours. A website that earns $500k/year can justify a much higher fee.

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Buffer for Slow Months

Freelancing income is uneven. Build a 3–6 month emergency fund, factor a buffer into your rate, and pay quarterly estimated taxes.

❓ Frequently Asked Questions

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