Toolstia / freelance rate calculator
Freelance rate calculator
Start from the income you want to take home. Add your business costs, tax, weeks off and billable hours, and see the hourly rate, day rate and monthly billing you need.
Only count hours you can actually bill. Time spent on admin, sales and learning is not billable, so many freelancers bill 20 to 30 hours in a 40 hour week. Set aside enough for tax, which varies by country.
How it works
- Enter your target income after tax and your costs.
- Add tax, billable hours and weeks off.
- Read the rates you need to charge.
How the rate is built
The calculator grosses up your target for tax, adds business costs, and divides by the hours you can bill in a year.
Billable hours
Admin, sales and learning are not billable. Many freelancers bill only 20 to 30 hours in a 40 hour week.
Time off
Holidays, sick days and slow weeks reduce the weeks you earn, which pushes the rate up.
Tax
Set aside enough for tax. The right share depends on your country and income.
Questions
Why is my rate higher than an employee wage?
You pay your own costs, tax, holidays and unbilled time, so the hourly rate must be higher.
Should I charge by the day?
A day rate is common for project work, and the calculator shows one.
Is my data stored?
Everything is worked out in your browser, and nothing you type is sent anywhere.