Your freelance rate should match your annual income goal divided by billable hours
This calculator helps you set rates that actually achieve your income targets. Input your desired annual income, weeks off, and hours per week to get your hourly, daily, weekly, and monthly rates.
How to use this calculator
Enter your desired annual income — what you want to take home after business expenses. Set how many weeks off you want per year (vacation, sick days, holidays). Input your realistic billable hours per week — most freelancers bill 25-35 hours even when working full time due to admin, sales, and unbillable work. The calculator shows your required hourly rate and breaks it down into daily, weekly, and monthly figures.
How freelance rates are calculated
Your hourly rate is your annual income goal divided by your total billable hours per year. This ensures you hit your income target while accounting for time off and non-billable work.
Hourly Rate = Annual Income / ((52 - Weeks Off) × Hours Per Week)Frequently asked questions
What's a realistic billable hour target per week?
Most full-time freelancers bill 25-35 hours per week. The remaining time goes to admin, proposals, invoicing, professional development, and finding new clients. If you're new to freelancing, start with 25 hours and adjust as you optimize your processes.
Should my rate include business expenses?
No. Your desired annual income should be what you take home after all business expenses like software, equipment, workspace, insurance, and taxes. Calculate your rate based on take-home income, then add business costs when pricing projects.
How do I know if my rate is competitive?
Research rates in your industry and location on platforms like Upwork, Toptal, or industry salary surveys. Entry-level freelancers typically charge $50-75/hour, mid-level $75-150/hour, and senior specialists $150-300+/hour depending on niche and results delivered.
Can I charge different rates for different clients?
Yes. Many freelancers have a base rate but adjust based on project complexity, client budget, ongoing relationships, or rush timelines. Your calculated rate is your minimum — you can always charge more for premium clients or specialized work.
How often should I increase my freelance rate?
Review your rates every 6-12 months. Increase rates as you gain experience, expand your skills, improve efficiency, or see strong demand for your services. A 10-15% annual increase is common for growing freelancers.