Calculate Your Profitable Freelance Rate — Without Guesswork

Stop undercharging. Use our free freelance rate calculators to calculate your true hourly rate, protect project margins, and build a sustainable business.

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Built by a freelance developer for freelancers.

Freelance Rate & Pricing Calculators

Freelance Hourly Rate Calculator

Calculate your real minimum profitable rate by factoring in taxes, expenses, and unbillable hours.

Project Pricing Calculator

Convert your hourly rate into safe flat-rate project quotes with built-in buffers.

Scope Creep Estimator

See how “just one small change” destroys your effective hourly rate.

Value-Based Pricing Guide

Learn how to price based on business impact instead of time — with real examples and frameworks.

How to Calculate Your Freelance Hourly Rate (Step-by-Step)

If you're wondering how much you should charge as a freelancer, the answer is never “whatever others are charging.” A sustainable freelance rate must be calculated using a clear formula. Our freelance hourly rate calculator is built around this exact framework.

The Freelance Rate Formula

Step 1: Define your target annual income.
Step 2: Add annual business expenses (software, hardware, insurance, subscriptions).
Step 3: Add self-employment taxes (typically 20–30%).
Step 4: Divide by realistic billable hours (not 40 hours per week).

Most freelancers only bill 50–65% of their working hours. The rest goes to admin, marketing, client communication, and proposal writing. This is why dividing salary by 2,080 hours leads to undercharging.

Example Calculation

Desired income: $100,000
+ Expenses: $15,000
+ Taxes (25%): ~$28,750
= Required revenue: ~$143,750

If you realistically bill 1,200 hours per year:
$143,750 ÷ 1,200 = $119/hour minimum rate.

How to Price a Freelance Project

Once you know your base rate, use the project pricing calculator to convert it into flat-fee quotes.

Flat-rate pricing protects you from efficiency penalties. If you complete work faster due to experience, you earn more per hour instead of less.

Freelance Tax Planning Basics

Freelancers are responsible for self-employment tax, income tax, and quarterly estimated payments. Always calculate rates using gross revenue targets — not net income assumptions.

Avoiding Scope Creep

Scope creep silently lowers your effective hourly rate. Use the scope creep estimator to see how unpaid revisions reduce profit margins.

Protect yourself with clearly defined deliverables, revision limits, and change-order clauses.

Get the Freelance Rate Formula PDF

A practical breakdown of the exact formula used in our calculators.

Frequently Asked Questions

How much should I charge as a freelancer?

There is no universal rate. Your pricing should be based on income goals, business expenses, taxes, and realistic billable hours. Use our Hourly Rate Calculator to calculate your minimum sustainable rate instead of copying competitors.

What is a good freelance hourly rate?

A "good" rate depends entirely on your income goals, business expenses, billable hours, and tax bracket. Instead of guessing based on competitors, use our Hourly Rate Calculator to find your exact baseline.

How many hours per week can freelancers bill?

Most full-time freelancers realistically bill between 20 to 30 hours per week. The remaining time is consumed by unbillable administrative tasks, marketing, accounting, and client communication.

Should I charge hourly or project-based?

Hourly pricing is safer for undefined work, but flat-rate project pricing is more profitable for experts because it rewards efficiency. Once you know your base hourly rate, use our Project Pricing Calculator to build profitable flat-fee quotes.

How do freelancers account for taxes?

Unlike traditional employees, freelancers must pay both income tax and self-employment tax. You should typically set aside 25-30% of your gross income. Learn more in our Freelance Tax Guide.

What is scope creep?

Scope creep happens when a client continuously adds new features, revisions, or extra meetings to a flat-rate project without increasing the budget. See how much money this costs you using our Scope Creep Estimator.