Hourly Rate Calculator
Work out the hourly rate you need from desired income, business costs and billable hours.
Calculate nowTip: billable hours are usually well below total working time (subtract vacation, sales, admin).
How it works
Enter desired income
Desired net or gross income per year.
Business costs & hours
Annual costs and actual billable hours.
Read the hourly rate
The minimum required hourly rate is calculated.
Benefits
Good to know about this tool
Calculates the minimum hourly rate needed from desired income, business costs and billable hours.
Because freelancers and self-employed people often set their hourly rate too low without accounting for all costs.
- Calculate a rate for a new freelance offer
- Check an existing rate covers all costs
- Play through different billable-hours scenarios
- Subtract vacation, sick days and sales time from total working time
- Capture business costs completely, including small recurring items
Frequently Asked Questions
What counts as business costs?
Software, insurance, rent, marketing, training and other running expenses.
How many hours are realistically billable?
Tip: billable hours are usually well below total working time (subtract vacation, sales, admin).
The information, templates, scripts, calculations and recommendations provided are intended for educational and assistance purposes only. Always review and test any generated result before production use. IT Smart Service accepts no liability for misuse, data loss, outages, security incidents, or legal, financial or technical damages arising from incorrect or improper use. Responsibility for validation, testing and deployment decisions rests with the user.
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