⏳ Hourly Rate Calculator
Calculate optimal hourly billing rate based on salary, overhead, and profit margin.
About Hourly Rate Calculator
Determine your ideal hourly rate for freelancing and consulting. Factor in desired annual salary, business overhead costs, billable hours per year, and profit margin to set competitive yet profitable rates.
Features
- Salary and overhead inputs
- Billable hours estimation
- Profit margin calculation
Frequently Asked Questions
How to calculate hourly rate?
Divide your desired annual salary + overhead costs by billable hours per year. A common baseline is 2,000 total hours minus holidays/vacation = ~1,500 billable hours.
What overhead costs to include?
Include software subscriptions, equipment, insurance, office space, utilities, marketing, accounting, professional development, and any other business operating costs.
How many hours are billable?
Freelancers typically bill 1,200-1,500 hours per year after accounting for administrative tasks, marketing, meetings, holidays, and sick days.