Income target and billable time
Free freelance hourly rate calculator
Enter your target annual income, business expenses, tax buffer, weeks off and billable hours to estimate a sustainable freelance hourly rate.
Free, no sign-up, and the entered values stay in your browser.
Formula
How the calculation works
Enter your target annual income, business expenses, tax buffer, weeks off and billable hours to estimate a sustainable freelance hourly rate.
Required revenue = target income + annual expenses. Hourly rate = required revenue ÷ (1 − tax buffer) ÷ annual billable hours.This planning estimate is not a tax calculation. Review local taxes, benefits, unpaid administration, market pricing and project risk before quoting a client.
Use the result
Move from calculation to a customer document.
Confirm the measurements, rates, tax treatment and project scope before relying on an estimate. Keep the calculation with the customer record, then place the verified figures in an itemized estimate, quote or invoice.
These browser calculations support planning and pricing. They do not replace field measurements, supplier quotations, payroll, accounting, tax, lending or professional advice.
Frequently asked questions
Questions about free freelance hourly rate calculator
Why are billable hours lower than working hours?
Freelancers also spend time on sales, administration, bookkeeping, learning and unpaid communication. Only client-billable hours generate the revenue used in this calculation.
Should the hourly rate include business expenses?
Yes. Software, insurance, equipment, professional services and other operating costs must be funded by revenue, not only by the owner's target income.
Can I use this rate for fixed-price projects?
Yes, as a planning baseline. Estimate the billable hours and risk, then convert the result into a clear fixed project price and scope.
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