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Freelance Hourly Rate Calculator

Determine your minimum viable hourly rate based on your desired salary, business expenses, billable hours, and time off. Never underprice yourself again.

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Freelance Hourly Rate Calculator

Turn your desired salary into a realistic hourly billing rate

Desired Salary $80,000
+ Business Expenses $15,000
= Total Financial Target $95,000
Weeks Per Year 52
− Vacation / Sick Weeks 4
= Working Weeks 48
= Total Billable Hours 1440

Required Hourly Rate

$65.97

$95,000 ÷ 1440 billable hours

How to Use This Rate
  • This is your minimum viable rate — the floor, not the ceiling
  • Add 15–30% to cover taxes, healthcare, and retirement (since freelancers pay self-employment tax)
  • Consider raising your rate for specialized skills, urgent timelines, or premium clients
  • Many freelancers find that only 50–70% of their work hours are actually billable
  • Formula: Rate = (Salary + Expenses) ÷ ((52 − Vacation) × Hours/Week)
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Most freelancers should charge 1.5–2× their calculated rate to account for taxes, benefits, and unbillable time. Use this as your starting point, then adjust up based on your experience and market demand.

Pricing Yourself as a Freelancer

One of the biggest challenges freelancers face is setting rates that cover their costs, desired income, and still remain competitive. This calculator uses a bottom-up approach to find your minimum viable rate.

Salary Target

Your desired take-home

What you want to earn annually

Expenses

Software, insurance, tools

Annual business operating costs

Billable Time

(52 − vacation) × hours/week

Actual hours you can invoice

Free Freelance Hourly Rate Calculator — convert your desired annual salary into a realistic billing rate. Account for business expenses, billable hours per week, and vacation time. Perfect for freelancers, independent contractors, consultants, and gig workers setting their rates for the first time.