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The Rate Floor · Free calculator
Freelance Hourly Rate Calculator
Are you charging enough? Tell us what you charge and what you want to take home, and get a straight answer: how far short you are, and what it is costing you a year.
Type what you charge now and we’ll tell you if it’s enough.
To take home $60,000 in a typical freelance year you need at least $92 an hour.
Your working yearWe assumed a typical one: 46 weeks · 35 hours a week · 60% billable · $450/mo costs · 28% taxAdjust
Show me the workingWhere the money goes, your hours, and what would lower the rate you needOpen
Where $88,733 a year goes
- Your take-home68%
- Tax set aside26%
- Business costs6%
Why not just divide $60,000 by 2,080 hours? That gives $29 — it bills every hour of the year, pays none of your costs and sets nothing aside for tax.
What would lower the rate you need
- Work 3 more hours a week−$7.25/hr
- Bill 5% more of your hours−$7.07/hr
- Work 2 more weeks a year−$3.83/hr
- Cut $100 a month of costs−$1.24/hr
Questions
Why is the rate higher than my old salary divided by 2,080?
Because 2,080 hours is the year, not the work. Nobody bills every working hour — the unbilled time goes on finding clients, quoting, invoicing, admin and the gaps between jobs. You also now pay costs an employer used to absorb, and you carry your own unpaid holiday and sick days. Dividing a salary by 2,080 is the single most common way freelancers underprice.
What is a realistic billable percentage?
Most established solo freelancers bill somewhere between 50% and 70% of their working hours. Below 50% usually means sales and admin are eating the week. Above 75% is rare and rarely lasts, because the work that fills next month is done in the hours you are not billing.
Should I quote this as an hourly rate to clients?
Usually not. Use it as your floor, then quote the job as a fixed price. An hourly rate invites clients to audit your speed and punishes you for getting faster. The number here tells you what a project has to earn per hour to be worth taking.
Does this account for tax?
It sets money aside at the percentage you choose, before arriving at your take-home. It is not tax advice and it does not know your jurisdiction, your deductions or your structure. Use it to size the problem, then check the rate with an accountant who knows your situation.
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