Freelance Hourly Rate & Project Estimator
Find the minimum rate you need to charge to hit your income goal.
Your rate appears here
Fill in your income details and click Calculate.
Freelance Rate Formula
Gross Required = (Salary + Overheads) ÷ (1 − Tax Rate)
Total Hours = (52 − Vacation Weeks) × Billable Hours/Week
Hourly Rate = Gross Required ÷ Total Hours
Example Calculation
Target: $80,000 salary | 30h/week billable | 3 weeks vacation | $5,000 overhead | 25% tax
Gross Required = ($80,000 + $5,000) ÷ 0.75 = $113,333
Total Hours = (52 − 3) × 30 = 1,470 hours
Hourly Rate = $113,333 ÷ 1,470 = $77/hr
40-hour project quote = $77 × 40 = $3,080
Frequently Asked Questions
Should I use this rate for every project?
This is your floor rate — the minimum to survive financially. Premium projects, tight deadlines, or specialized skills justify charging 20–50% more. Use this as your starting point, not your ceiling.
How many billable hours is realistic?
Most full-time freelancers bill 20–30 hours per week. The remaining time goes to admin, marketing, proposal writing, and professional development.
Should I include taxes in my rate?
Yes. As a freelancer, you pay both employee and employer portions of self-employment tax. In the US, budget at least 25–30% for taxes. This calculator factors in your estimated tax rate.
Last reviewed: October 2024
Sources:
HMRC self-employment guidance· IRS self-employment tax
Rate estimates assume you work the stated billable hours every week. Factor in business development, admin, and client churn.