What is a good freelance hourly rate?

A good freelance hourly rate isn't a universal number; it depends on your specific financial needs. It must cover your desired take-home pay, 20-30% in self-employment taxes, business expenses, and account for the 40-50% of your week spent on unbillable admin tasks.

How do I calculate unbillable freelance hours?

Most freelancers only bill 20 to 25 hours per week. The remaining 15-20 hours are 'unbillable' time spent on client acquisition, answering emails, writing proposals, invoicing, and accounting. Your hourly rate must be high enough to subsidize this unpaid time.

SoloHourly | True Freelance Hourly Rate Calculator

Your Current Reality

What is your current hourly rate?

We'll compare this against what you actually need to survive.

Your Financial Variables

Desired Annual Take-Home Pay

How much money do you want in your bank account after expenses and taxes?

Estimated Monthly Business Expenses

Software subscriptions, hosting, internet, marketing, legal fees, etc.

Estimated Tax Rate (%)

Self-employment and income taxes combined (Usually 20% - 30%).

Your Time Variables

Weeks Off Per Year

Vacation, sick days, and holidays.

Billable Hours / Week

Max is typically 20-25. The rest is admin & sales.

Survival Rate

$ 82

Absolute Minimum

Target Rate

$ 99

+20% Profit Buffer

At your current rate of $50/hr, you will fall short of your target goal by -$38,400 / year

Target Gross Revenue (Survival) $108,000

Total Taxes Owed $27,000

Total Annual Expenses $6,000

Total Billable Hours/Year 1,200 hrs

Free

Struggling to justify $99/hr to clients?

Here is the exact proposal template that helps freelancers confidently charge premium target rates.

Used by 500+ freelancers. Instant download. No spam.

★★★★★

"I thought $50/hr was fair. This calculator showed I needed $85 just to survive taxes. I raised my rates, used the proposal template, and no one pushed back."

— Sarah M., Web Developer

How to Calculate Your Freelance Hourly Rate Correctly

The biggest mistake freelance developers, designers, and writers make is calculating their rate based on a standard 40-hour workweek. When you run a solo business, you do not get paid for 40 hours.

1. The "Unbillable Time" Factor

As an independent professional, you spend a massive portion of your week doing unbillable work: answering emails, writing proposals, sending invoices, marketing, and doing your taxes. Industry standard dictates that only about 50% to 60% of your time is actually billable to clients (roughly 20-25 hours a week).

2. The Self-Employment Tax Trap

Unlike a W-2 employee, freelancers are responsible for both the employer and employee portions of payroll taxes, plus standard income tax. This calculator automatically grosses up your desired income so that you hit your target after the government takes its 25-30% cut.