Free Tool
Freelance Rate Calculator
“What should I charge?” is the hardest question in freelancing — and most people guess low. Enter a few honest numbers below and see the hourly rate that actually covers your income, your time off, your expenses, and a real profit buffer. No signup, no email wall.
Your numbers
Be honest — most freelancers bill 20–30, not 40.
A 25–40% buffer keeps you covered when a month goes quiet.
You should charge at least
$60/hour
How this freelance rate calculator works
The math behind a sustainable freelance rate is simple, but almost nobody does it — which is why so many freelancers quietly burn out at rates that never actually covered their life. Here’s the formula this tool uses:
- Start with what you need to earn. Your target take-home income plus your yearly business expenses is the total your work has to bring in.
- Divide by the hours you can really bill. Billable hours per week × the weeks you actually work (52 minus your time off). This is almost always far fewer hours than a 40-hour week implies.
- Add a profit buffer. Taxes, quiet months, unpaid admin, and revisions all eat into the number. A 25–40% buffer turns a break-even rate into one you can actually live on.
Why freelancers underprice themselves
The number-one pricing mistake is comparing your freelance rate to a salaried hourly wage. If you made $50k on payroll, that felt like about $24/hour — so charging $50/hour as a freelancer feels generous. It isn’t. Out of that rate you now pay self-employment tax, health insurance, software, equipment, and every unbillable hour you spend finding work and doing admin. A freelance rate of 2–3× the equivalent salaried wage is normal, and usually the minimum to break even.
Turning your rate into a real quote
Once you know your hourly number, quoting a project is easy: estimate the hours, multiply by your rate, and add a buffer for scope creep. You can build that quote for free with the estimate generator, and when the client approves it, turn it into an invoice in a click. For the full picture of pricing and payment terms, see how to invoice a client.
Frequently asked questions
How do I calculate my freelance hourly rate?
Add the annual income you want to your yearly business expenses, then divide by the number of hours you can actually bill in a year (billable hours per week × weeks you work). Add a profit buffer on top for taxes, dry spells, and admin time. This calculator does all of that for you.
Why is my freelance rate higher than a salaried hourly wage?
A salary hides a lot. As a freelancer you cover your own taxes, health insurance, software, equipment, unpaid admin time, and gaps between clients — and only a fraction of your working hours are actually billable. A rate 2–3× the equivalent salaried wage is normal and usually necessary.
How many billable hours are realistic per week?
Most full-time freelancers bill 20–30 hours a week, not 40. The rest goes to finding clients, admin, invoicing, and unpaid revisions. Be honest here — overestimating billable hours is the most common reason freelancers underprice themselves.
Should I charge hourly or per project?
Many freelancers quote a project price but calculate it from an hourly rate — estimate the hours, multiply by your rate, add a buffer. Knowing your true hourly number keeps your project quotes profitable instead of guesswork.