Freelance Hourly Rate Calculator
Income Goal
How much you want to take home after expenses and taxes
Work Schedule
Hours spent on client work (not admin, marketing, etc.)
52 weeks minus vacation/holidays (typically 48-50)
Business Expenses
Software, equipment, insurance, office, etc.
Health insurance, retirement contributions
Taxes & Profit
Your estimated marginal tax rate (self-employment tax automatically added at 15.3%)
Buffer for growth and savings (typically 10-20%)
How to Use This Calculator
Calculate the hourly rate you need to charge as a freelancer to meet your income goals while covering expenses, taxes, and building in a profit margin.
Key Factors:
- Billable Hours: Only hours spent on client work count - not admin, marketing, or downtime
- Self-Employment Tax: Automatically added at 15.3% (Social Security + Medicare)
- Profit Margin: Buffer for business growth, savings, and unexpected expenses
- Rule of Thumb: (Desired salary / 2000) × 2.5-3 is a quick estimate
Remember: This is your minimum rate. Consider charging more for expertise, rush jobs, or high-value clients.
Use this freelance hourly rate calculator to compute freelance & creator finance results from your inputs.
Formula
Total billable hours = Hours per week × Weeks per year Gross revenue needed = (Annual income + Expenses + Benefits) / (1 - Tax rate - SE tax - Profit margin) Hourly rate = Gross revenue needed / Total billable hours Alternative rule of thumb: (Annual salary / 2000 hours) × 2.5 to 3