Freelancer Rate Calculator
Hourly and day rate to hit your income goal.
Your result
—
Enter your numbers to see the result.
This freelancer rate calculator works out the hourly and day rate you need to charge to reach your income goal. It adds your business expenses and taxes, accounts for holidays and sick days, and counts only billable hours, since much of a freelancer’s week goes on admin, marketing and finding clients. A buffer covers slow months.
What is a Freelancer Rate Calculator?
A freelance rate is the price you charge clients for your time. Unlike a salary, it has to cover things an employer usually pays for: taxes, software and equipment, health insurance, retirement savings, holidays and sick days. It also has to account for the hours you spend on unpaid work such as admin, sales and learning.
That is why simply dividing a salary by 2,080 hours undercharges. This freelancer rate calculator starts from the take-home income you want and works back to the hourly and day rate you need, based on the hours you can realistically bill.
How does the Freelancer Rate Calculator work?
Your take-home goal is grossed up for tax, business expenses are added and a buffer is applied for slow months. Billable hours are working weeks (52 minus weeks off) × hours per week × billable share. Dividing revenue needed by billable hours gives the hourly rate; the day rate assumes eight billable hours.
How to use the Freelancer Rate Calculator step by step
- Choose your currency.
- Enter the take-home income you want.
- Enter business expenses and your tax rate.
- Enter working hours, billable share and weeks off.
- Add a buffer for slow months.
- Compare the rate with your market and adjust.
Freelancer Rate Calculator example with real numbers
Jordan is leaving a job to freelance and wants $60,000 a year after tax. Expenses are about $6,000 a year, taxes take about 25%, and Jordan plans 6 weeks off and expects 65% of a 40-hour week to be billable.
| Example input | Value |
|---|---|
| Currency | US dollar ($) |
| Take-home income you want per year | 60,000 |
| Business expenses per year (software, equipment, insurance) | 6,000 |
| Total tax rate on profit | 25% |
| Working hours per week | 40 hours |
| Share of hours that are billable | 65% |
| Weeks off per year (holidays, sick days) | 6 weeks |
| Buffer for slow months | 10% |
| Example output | Value |
|---|---|
| Hourly rate to charge | $79.10 |
| Revenue needed per year | $94,600 |
| Billable hours per year | 1,196 |
| Day rate (8 hours) | $633 |
| Weekly revenue target | $2,057 |
| Monthly revenue target | $7,883 |
| Taxes | $20,000 |
| Effective rate over all working hours | $51.41 |
The freelancer rate calculator shows Jordan needs $94,600 of revenue over 1,196 billable hours, so the hourly rate is $79.10.
Key features of this Freelancer Rate Calculator
- Take-home to hourly rate
- Billable share of time
- Weeks off and buffer
- Day, weekly and monthly targets
- 8 currencies
Who should use the Freelancer Rate Calculator?
Who is this Freelancer Rate Calculator for?
- Freelance designers, writers and developers
- Consultants and coaches
- Employees considering going independent
- Agencies setting staff rates
Practical use cases
- Setting your first rate
- Raising rates with confidence
- Turning a salary into a freelance rate
- Pricing a retainer
Key benefits
- Realistic: billable hours only.
- Complete: tax, expenses and time off.
- Global: any of 8 currencies.
- Private: runs in your browser.
Tips for better results
- Most freelancers bill 50% to 70% of their working hours.
- Review your rate every year and for every new client.
- Consider project or value-based pricing for well-defined work.
- Set aside tax from every payment.
Common mistakes to avoid
- Dividing a salary by 2,080 hours.
- Forgetting unpaid time.
- Leaving out health insurance and retirement savings.
- Not planning for slow months.
Limitations of this Freelancer Rate Calculator
- It does not reflect market rates for your skill.
- Tax is a single rate you enter.
- It assumes the same rate for all clients.
Freelancer Rate Calculator vs other ways to calculate
| Pricing model | Best for |
|---|---|
| Hourly | Ongoing or uncertain work |
| Day rate | Workshops, on-site work |
| Project fee | Clear scope and deliverables |
| Retainer | Regular monthly work |
For US self-employment tax, use the self-employment tax calculator. To compare with a salary, try the hourly to salary calculator.
Privacy and data handling
This Freelancer Rate Calculator runs entirely in your browser. The numbers you type are not sent to Qorico or stored on any server, and nothing is saved after you close the page. The Copy and Download buttons create the result on your own device. If the page has analytics turned on, it may count that a calculation happened, but it does not record the values you entered.
Freelancer Rate Calculator FAQs
How much should I charge per hour as a freelancer?
Enough to cover your take-home goal, taxes, expenses and time off over your billable hours. Enter your figures above to see the number.
How many billable hours does a freelancer have?
Often 1,000 to 1,500 a year, depending on time off and how much time goes on admin and sales.
How do I convert a salary to a freelance rate?
Enter the salary as take-home income (or the pre-tax amount with tax set to 0), then add expenses and time off.
What tax rate should I use?
Your expected combined income and self-employment or social-security tax rate.
What is a good buffer?
Many freelancers add 10% to 20% for gaps between projects and late payments.
Should I charge by the hour or by the project?
Hourly suits uncertain work; project pricing rewards efficiency when scope is clear.
Related tools
Sources and references
We checked the method and the current figures used in this Freelancer Rate Calculator against these official and primary sources:
- U.S. Small Business Administration
- IRS: Self-employment tax
- U.S. Bureau of Labor Statistics: Occupational Employment and Wages
- Income Tax Department of India
Written and reviewed by the Qorico Team
