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Freelance Hourly Rate Calculator
Estimate a freelance hourly rate from an annual income target, business expenses, billable hours, and weeks off. The result is a planning guide.
How to use this tool
- Enter your annual income target before personal tax.
- Estimate yearly business expenses and realistic billable hours per week.
- Subtract weeks off and review the resulting rate as a planning starting point.
How the calculation works
Suggested hourly rate = (annual income target + annual business expenses) ÷ (billable hours per week × (52 − weeks off)). The result depends on your assumptions and excludes tax advice.
A quick example
If the annual amount to cover is $60,000 and you have 1,000 billable hours, the planning rate is $60 per billable hour.
Common questions
Does the result include tax?
No. Tax rules differ by location and situation. Consult a qualified local professional when planning taxes.
Should all working hours be billable?
Usually not. Include time for sales, administration, learning, and delivery work that you cannot invoice separately when estimating billable hours.
Is this the right price for every client?
No. It is a cost-and-time planning reference. Market positioning, scope, value, risk, and client needs also matter.