Free Tool

Free Hourly Rate Calculator

Find your ideal freelance or consulting rate based on income goals, billable hours, expenses, and taxes — in seconds.

Minimum Rate Recommended Rate Premium Rate Income Breakdown Tax-Aware

Know exactly what to charge before every proposal

Built from your real income goals, expenses, and taxes — not a gut feeling or a round number.

Three-Tier Rate Output

Get minimum, recommended, and premium rates in one calculation — each serving a different client conversation.

Tax-Aware Calculation

Includes self-employment tax and your effective rate so your rate actually covers what you owe, not just what you earn.

Real Utilization Modeling

Adjust your billable utilization rate so your rate reflects actual chargeable hours — not an optimistic 100%.

Instant Income Breakdown

See how your rate splits across take-home pay, taxes, expenses, and profit buffer in a single visual.

How to calculate your hourly rate

Three inputs, three tiers, and a complete income breakdown — in under a minute.

1
Step 1

Enter Income Goal & Expenses

Set your target annual take-home income, then list your real business expenses — software, insurance, equipment, and any other annual costs your rate needs to cover.

2
Step 2

Set Tax Rate & Hours

Enter your effective tax rate (include self-employment tax), your billable hours per week, and your utilization rate — the percentage of work time that's actually chargeable.

3
Step 3

Get Your Three-Tier Rate

Review your minimum (break-even), recommended (sustainable), and premium (growth) rates — each with a full annual income breakdown and hours analysis.

Income Goals

Set your target earnings and work schedule

$
wk
hr
hr
How much billable time do you realistically fill? 80%

Business Expenses

Annual costs your rate must cover

Software & Tools
$
$
Insurance & Compliance
$
$
Marketing & Growth
$
$
Other
$
$
$
$

Taxes & Profit

Tax rate and desired profit buffer

%
%

Your Rate Results

Fill in the inputs to see your rates

Set your income goals, expenses,
and tax rate to calculate your rate.

Annual Income Breakdown
Hours Analysis

How to Set the Right Hourly Rate

A practical guide to calculating a freelance or consulting rate that actually covers your costs and hits your income goals.

Why use our Hourly Rate Calculator?

Stop guessing your rate. Start charging what your income goal actually requires.

Always Free

No signup needed. Calculate and recalculate as often as your income goals or expenses change.

Minimum, Recommended & Premium Tiers

Three rates for three situations — your floor for tightest negotiations, your sustainable default, and your expert positioning rate.

Your Rate Floor, Not a Gut Feeling

Built from your actual income goal, real expenses, and tax rate — not a round number you heard someone else charge.

Need help managing client work at your new rate?

Agency Handy handles proposals, invoicing, time tracking, and client portals — all in one place.

Try Agency Handy Free →

Got questions?

Common questions about setting your freelance or consulting hourly rate