Freelance Hourly Rate Calculator
Enter your income goal, time off and overhead — get the exact hourly rate you need to charge to hit your number after taxes.
Adjust the inputs — results update instantly.
One of the biggest mistakes new freelancers make is undercharging. They calculate an hourly rate based on their old salary without accounting for self-employment taxes, unpaid time, business expenses, and the reality that you cannot bill every hour you work.
This calculator helps you work backwards from your desired take-home income to find the minimum and recommended hourly rate you need to charge — so you never undersell yourself again.
How it works
Enter your desired annual take-home income — the amount you actually want to keep after taxes. Then input your vacation weeks, sick days, and monthly business expenses. Set your self-employment tax rate (15.3% in the US for Social Security and Medicare) and your estimated income tax rate.
The calculator determines your billable hours per year after removing vacation and sick time, then grosses up your target income to account for all taxes and expenses. The recommended rate adds a 20% buffer to protect against slow months and unexpected costs.