Know exactly what to charge — down to the hour.
Quick Presets
Your Numbers
How much you want to keep after taxes
Software, equipment, insurance, accountant, etc.
Not every work hour is billable — admin, sales, etc. take time
Vacation, sick leave, public holidays, slow periods
Include self-employment tax (~15.3%) + income tax. US average: 25-37%
Buffer above costs — for growth, savings or unexpected gaps
Your Hourly Rate
Rate Breakdown Visualization
Charging below $78.31 means you won't meet your salary goal after taxes and expenses.
Annual Revenue Breakdown
Your desired annual net pay
28% effective rate on gross income
Salary + taxes you must earn before tax
Annual overhead (software, equipment, etc.)
Gross income + expenses
15% above total costs
Total you need to bill each year
Monthly & Weekly Targets
$11,285
avg per month to hit target
$2,764
per billable work week
$737
at recommended rate × 8 hrs
Rate vs. Billable Hours Scenarios
How your recommended rate changes if you bill fewer or more hours per week (same salary & expenses).
| Billable hrs/week | Hrs/year | Min. Rate | Recommended |
|---|---|---|---|
| 15 hrs | 735 | $156.61 | $184.25 |
| 20 hrs | 980 | $117.46 | $138.19 |
| 25 hrs | 1,225 | $93.97 | $110.55 |
| 30 hrs ← | 1,470 | $78.31 | $92.13 |
| 35 hrs | 1,715 | $67.12 | $78.96 |
| 40 hrs | 1,960 | $58.73 | $69.09 |
How the Rate is Calculated
Unlike a salaried employee, freelancers must cover their own taxes, business costs and unpaid time. This calculator works backwards from your desired net salary to find the gross revenue — and therefore the hourly rate — you need to charge.
The minimum rate is the floor — charging this exactly leaves no buffer. The recommended rate adds your profit margin, giving you breathing room for slow months, growth, and retirement savings.
Tips for Freelancers
Disclaimer: This calculator provides estimates for planning purposes only. Tax rates vary by country, state and individual circumstances. Consult a qualified tax professional or financial advisor before making business decisions.
The Freelance Hourly Rate Calculator helps you set a rate that actually covers your life. Enter your target take-home salary, billable hours per week, taxes, and business expenses to get a minimum rate you must never go below — and a recommended rate with a profit margin that protects you from slow months and surprises. Stop guessing; start charging what you are worth.
The calculator works backwards from your desired net salary. It grosses up for taxes to find the income you must earn before tax, adds annual business expenses, then applies your profit margin. That annual revenue target divided by your total billable hours gives the recommended hourly rate.
In the US, freelancers typically owe ~15.3% in self-employment tax plus federal and state income tax. A combined effective rate of 25–37% is common depending on your income level and state. Consult a tax professional for your specific situation.
Not every hour you work earns money. Sending proposals, doing admin, attending networking events, and professional development all take time without direct billing. Most freelancers find 25–35 billable hours is realistic in a 40-hour week.
The minimum rate is the exact floor — it covers your salary (after tax) and business expenses with zero buffer. The recommended rate adds your chosen profit margin on top, providing financial cushion for slow periods, retirement savings, and unexpected costs.