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Freelance Hourly Rate

Rate to charge to hit a take-home target.

Hourly rate to charge
$109
Day rate: $873 · Monthly retainer: $10,476

Math

Working weeks48
Total hours per year1,920
Billable hours per year1,152
Gross revenue needed$125,714

Most freelancers undercharge because they treat their target like a salary divided by 2080 hours. You can't bill 100% of your time: sales, admin, learning, and dead weeks eat at least 30%. Self-employment tax adds 15.3% on top of regular income tax. The output here builds in both.

About

Enter your take-home goal, business expenses, vacation, billable percentage, weekly hours, and tax rate. Get the hourly rate, day rate, and equivalent monthly retainer to cover the math.

How to use

  1. Enter income target and expenses.
  2. Set vacation, billable %, hours, tax.
  3. Read the rate to charge.

FAQ

Why isn't 60% billable enough?+

It's typical. Most freelancers spend 30–40% of their time on sales, admin, learning, and overhead. The other 60–70% is billable. Junior solo freelancers often start lower (40%) and work up.

What about benefits?+

Add roughly 20–30% to the gross-needed line if you're funding your own health insurance and retirement. The default 30% tax rate covers federal, FICA, and a moderate state.