True Hourly Rate Calculator
Calculate the true hourly rate freelancers need to charge.
True Hourly Rate (Freelancer) Calculator
Freelancers often undercharge by calculating rates based on a standard 40-hour work week. Use this tool to factor in unbillable admin time, business expenses, hidden taxes, and vacation to find your true required hourly rate.
Financial Goals
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$
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Time Availability
Time actually spent working on client files versus marketing, admin, emails, etc. Standard is ~60%.
True Minimum Hourly Rate
$92.81 / hr
To hit a take-home of $75,000.00 after taxes and expenses.
Total Gross Required
$105,000.00
Revenue target before taxes/costs
Total Tax Burden
$25,000.00
Actual Billable Hours
1,131.36 hrs
Plus 754.24 unbillable admin hrs/year
Why calculate a True Hourly Rate?
Freelancers often undercharge by calculating rates based on a standard 40-hour work week. This tool factors in the reality of unbillable administrative time, business expenses, and self-employment taxes to find your true required hourly rate.