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FreelanceToolKitFree

Freelance Hourly Rate Calculator

Find a sustainable hourly rate from your income goal, costs, taxes, and realistic billable time.

Your numbers

Money fields and results use USD. Reference conversions use cached public exchange-rate data.

11 nationwide weekday public holidays found. Public holiday data is used to estimate working days. Local rules may vary.

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The rest covers admin, sales, and operations.

Results update automatically

Recommended hourly rate

$91.65

Based on the values entered · USD

Annual revenue target$112,000
Billable hours / year1,222
Non-billable hours / year658

Exchange rates come from Frankfurter public market data and are estimates. Latest published date: 2026-06-23.

How to use it

A useful estimate starts with honest inputs

A good freelance rate pays for far more than the hours on a client call. It also covers taxes, software, sales time, leave, and the gaps between projects.

Enter your figures

Use realistic values from your own work and records.

Review the estimate

Read the supporting breakdown, not only the headline.

Adjust your assumptions

Test a conservative and an optimistic scenario.

Methodology

How the calculation works

The calculator estimates the revenue needed to cover your take-home target, taxes, and business expenses, then divides it by realistic billable hours after time off, utilization, and optional public holidays.

Practical example

Putting the estimate in context

A freelancer targeting 75,000 in take-home income, with 12,000 in expenses and 25% estimated tax, needs a higher revenue target than salary alone suggests. Reducing available time to realistic billable hours produces a sustainable hourly rate.

Formula

Freelance hourly rate formula

Hourly Rate = Total Annual Revenue Needed / Annual Billable Hours

Total Annual Revenue Needed = Desired Income + Expenses + Tax Buffer + Profit Buffer. This is a planning method, not tax, legal, or financial advice.

Common mistakes

  • Entering a desired salary but leaving business expenses at zero.
  • Using 100% billable utilization.
  • Forgetting leave, holidays, and admin time.

Better inputs

Tips for a more useful result

  • Use tracked billable utilization rather than an optimistic guess.
  • Include software, insurance, equipment, and professional fees.
  • Review the rate whenever expenses, taxes, or available time change.

Learn the context

Related guides

Common questions

About this calculator

Is the hourly rate calculator free?

Yes. It is free to use, requires no account, and your entries stay in your browser.

How accurate is this estimate?

The result is a planning estimate based on the values you provide. Taxes, local rules, and individual circumstances can change the real outcome.

Does FreelanceToolKit store my financial data?

No. This calculator runs in your browser and does not send your entries to a server.

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