Finance

Freelance hourly rate calculator

Work out the hourly rate you need to hit your yearly income target — with taxes, days off and expenses built in.

Most freelancers pick their hourly rate by gut feeling — then wonder why they're underpaid six months later. This calculator reverses the process: start from the net income you want to take home, add tax, expenses and realistic days off, and you'll see the minimum hourly rate you must quote to hit that goal. It works for freelance developers, designers, consultants, copywriters, marketers or any solo professional who bills by the hour or by the day.

USD
weeks
h
%
USD
Hourly rate
$105
per hour
Day rate (8h)
$837
per day
Gross to bill
$120,286
per year

Based on 1150 working hours / year.

How it works

  1. 1Enter your target net yearly income — the cash you want to take home after taxes.
  2. 2Set weeks off (holidays + sick + admin) and realistic billable hours per week. Most freelancers overestimate here.
  3. 3Add estimated yearly expenses (software, hardware, coworking, accountant).
  4. 4The calculator grosses up for tax and divides by actual working hours — giving you a floor hourly rate to quote above.

Who it's for

  • Freelance developers, designers and copywriters setting a first rate card.
  • Consultants quoting on project retainers and wanting a floor price.
  • Employees considering going independent, benchmarking against their salary.
  • Agencies converting internal cost into a billable rate for clients.
  • Swiss, French or Belgian freelances factoring in high social contributions.
  • Anyone feeling underpaid and suspecting their rate is too low.

Pro tips

  • Cap billable hours at 25-30 per week. Admin, prospecting, invoicing and proposals eat the rest — pretending otherwise is how freelancers burn out.
  • Count at least 6-8 weeks off per year. Without holidays, sick days and admin weeks, you'll budget for hours you never actually bill.
  • Double-check your tax rate including social charges. In Switzerland plan 25-30%, in France 40-50% with AE + income tax, in the US 25-40% combined.
  • The result is a floor, not a ceiling. Junior rate = floor. Mid-level = floor × 1.3. Senior/expert = floor × 1.8-2.
  • Re-run the calculator every 6 months. As your expenses or target income grow, your rate must grow too.

Frequently asked questions

Is this calculator accurate for my country?+

Yes — it doesn't assume any tax regime. You input the combined tax + social charge rate yourself, so it works for any country: France (AE ~25% or TNS ~45%), Switzerland (~25-30%), Germany (Freiberufler ~30-42%), US (~25-40% combined), UK (~25-40%), Canada (~30-45%).

What's the difference between hourly rate and day rate (TJM)?+

Day rate (TJM) is typically 8× the hourly rate. The calculator shows both — use hourly rate for quoting by the hour (support, consulting calls), day rate for project-based quotes (build sprints, audits).

My result looks very high. Is it realistic?+

If it does: your expectations of "weeks worked" are probably too optimistic. Most full-time freelancers actually bill around 1,200-1,400 hours per year (not 2,000+). Reducing billable hours/week to 25 and adding 8 weeks off gives you a number closer to what senior freelancers actually charge.

Should I use this rate in my client quotes directly?+

This is your minimum viable rate — quoting below it means losing money. In practice, experienced freelancers quote 30-100% above this floor depending on seniority, urgency and client size. Use it as your "never go below" threshold.

Does it include VAT/sales tax?+

No — the rate shown is pre-VAT (HT). VAT is a pass-through tax you add on top when invoicing VAT-registered clients, not part of your income. Use our free invoice generator to add VAT on your invoices.

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