How to Use the Freelance Hourly Rate & Billable Hours Calculator
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1
Enter desired net annual take-home salary.
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2
Estimate annual business expenses (software subscriptions, hardware, health insurance).
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3
Set billable hours per week (typically 20-30 hours after admin/marketing).
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4
View recommended minimum hourly rate and daily consulting rate.
Practical Example & Use Case
Common Real-World Scenario
A designer aiming for $90,000 net income with $12,000 annual overhead and 25 billable hours/week discovering they must charge at least $95/hour.
Technical Notes & Limitations
Browser Engine Architecture
Calculates standard self-employment tax allowances and paid time off (PTO) deductions.
Frequently Asked Questions
Why can't I bill 40 hours per week as a freelancer?
Freelancers spend 25% to 40% of working time on non-billable tasks: client invoicing, proposal writing, prospecting, and accounting.