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Hourly rate calculator

Work out the freelance rate that actually hits your income goal — after tax, expenses and time off.

Your rate
Recommended hourly rate
$78.26/ hour
Day rate (8h): $626.08
Billable hours / year1150
Revenue target / year$90,000.00
Revenue / month$7,500.00
Pre-tax income needed$75,000.00

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Stop guessing your freelance rate. This calculator works backwards from the income you actually want to keep — factoring in tax, business expenses, time off and a profit buffer — to the hourly and day rate you should charge. Set your target, your billable hours, and see the number in real time.

  • Rate derived from your real take-home goal
  • Accounts for tax, expenses and unpaid time
  • Hourly and day rate, plus yearly revenue target
  • Adjustable profit buffer so you're not scraping by
  • A tidy PDF you can keep or share with a client

Who it's for

  • New freelancers setting their first rate
  • Contractors deciding whether a project pays enough
  • Anyone raising rates and wanting the target number
  • Agencies sanity-checking a day rate

How it works

  1. 1Enter the yearly income you want to keep.
  2. 2Add business expenses and your tax rate.
  3. 3Set billable hours per week and working weeks per year.
  4. 4Read your rate, then download the PDF.

Frequently asked questions

Why is my rate higher than my salary equivalent?+

Freelancers pay their own tax and expenses and don't bill every hour. This calculator grosses your take-home goal up for all of that, which is why the rate looks higher than an hourly salary.

What should I put for billable hours?+

Only the hours you actually invoice — admin, marketing and breaks aren't billable. Many full-time freelancers bill 20–30 hours a week, not 40.

What's the profit buffer for?+

It's a margin on top so slow months, bad debt and surprises don't wipe out your target. A 10–20% buffer is a sensible starting point.