Calculate your ideal hourly rate based on income goals, expenses, and market data. Stop undercharging—know your worth.
This is your desired personal income (like a salary), not your business revenue.
Software subscriptions, internet, office space, equipment, marketing, accounting, etc.
Only count client work time, not admin, sales, or marketing.
Vacation, holidays, sick days, and personal time.
Most freelancers undercharge by 30-50% because they forget critical costs. This calculator accounts for:
To earn $60,000 take-home, you can't charge $30/hour. You need $50-75/hour depending on your situation.
Pro Tip: This is your minimum sustainable rate. Consider charging 20-30% more for rush jobs, specialized expertise, or clients with bigger budgets.
Start with your desired take-home income – what you want to earn after all taxes and expenses. Be realistic but ambitious. Research average salaries for your profession in your region.
Add up monthly costs like software subscriptions (Adobe, Figma, Slack), internet, phone, coworking space, equipment, insurance, accounting services, and marketing. Most freelancers underestimate this at $200-300 when it's actually $500-1000.
Only count hours spent on actual client work. Don't include time spent on proposals, invoicing, social media, learning, or meetings. A full-time freelancer typically bills 25-30 hours per week, not 40.
Unlike employees, freelancers don't get paid vacation. Account for holidays, sick days, and personal time. Most freelancers should budget 4-6 weeks off per year minimum for sustainability.
Switch to the Advanced tab to include tax rates (typically 25-35% for freelancers including self-employment tax), health insurance ($300-600/month), retirement savings, and your profit margin for business growth.
Your calculated rate is the minimum to sustain your business. Charge premium rates for: rush projects (add 25-50%), specialized skills, enterprise clients with bigger budgets, long-term retainers (stable income premium), and when demand for your services is high.