Figure out what you should be charging in under 60 seconds.
Most freelancers set their rates by guessing, copying what others charge, or defaulting to whatever feels “safe.” The problem with all three approaches: they’re not based on what you actually need to earn.
This calculator works backwards from your real numbers — your income goal, your expenses, your available hours — and tells you the minimum you need to charge to hit your target. Enter your details below and hit calculate.
How the calculator works
The freelance rate calculator uses five inputs to work out your minimum viable rate:
Your target annual income is what you want to take home before tax. Your business expenses cover the costs of running your freelance operation — software, equipment, subscriptions. Your working hours — weeks per year and hours per week — establish the total time available. Your billable percentage accounts for the reality that not every working hour is a client-facing hour. And your average project hours let the calculator convert your hourly rate into a per-project price.
From those numbers, it calculates the total revenue you need to generate, divides that by your available billable hours, and gives you a rate that actually covers your costs and income goal.
The optional 20% profit buffer adds a cushion for the realities of freelance life — slow months, late payments, scope creep, and unexpected gaps between projects. It’s not padding. It’s what separates a sustainable freelance rate from one that works only when everything goes perfectly.
Why your billable percentage matters more than you think
The single number that surprises most freelancers when they use this calculator is how few of their working hours are actually billable.
If you work 40 hours a week, you might assume you have 40 billable hours to sell. In practice, freelancers typically spend 20–30% of their time on non-billable activities — responding to emails, marketing, admin, invoicing, business development, and professional development.
A realistic billable percentage for most freelancers is somewhere between 60% and 80%. If you set it higher than that, your rate calculation will underestimate what you need to charge, and you’ll consistently fall short of your income goal.
Run the calculator with your actual billable estimate — not your optimistic one. The resulting rate might feel high. That’s usually a sign it’s accurate.
What to do with your rate
The number this calculator gives you is your floor — the minimum you need to charge to hit your income goal. It is not your ceiling.
If the market you work in will bear a higher rate, charge more. Experienced freelancers with strong portfolios and clear positioning regularly charge two to three times their minimum viable rate. The calculator gives you a foundation. What you build on top of it depends on your positioning, your niche, and the value you deliver.
A few things worth knowing once you have your number:
New freelancers often feel their calculated rate is too high to charge. It rarely is. The discomfort usually comes from pricing based on time rather than value — and from not having tested what clients will actually pay.
Round up, not down. If your calculated hourly rate is $87, charge $90 or $100. Clean numbers are easier to quote and easier for clients to process.
Review your rate at least once a year. Your expenses change, your experience grows, and the market moves. A rate you set two years ago is almost certainly lower than what you could charge today.
Common questions about freelance rates
How much should a freelancer charge per hour?
There’s no universal answer — it depends on your niche, experience, location, and income goal. This calculator gives you a personalized minimum based on your actual numbers, which is more useful than any industry average.
What’s a good billable percentage for freelancers?
Most freelancers find 60–75% is realistic for sustained work. Setting it higher often leads to burnout or undercharging, because it doesn’t account for the time required to run the business itself.
Should I charge by the hour or by the project?
Both have advantages. Hourly rates are transparent and easy to explain. Project rates reward efficiency — the faster you work, the more you effectively earn per hour. Many experienced freelancers move toward project-based pricing as they become more established, using their hourly rate as the underlying calculation.
How often should I raise my rates?
At minimum, once a year. More often if your demand is consistently high, you’re turning down work, or you’ve significantly developed your skills or portfolio.
What if my calculated rate feels too high to charge?
Test it before deciding it won’t work. Many freelancers discover that clients respond better than expected to higher rates — particularly when they’re presented with confidence and backed by a clear explanation of value. A rate you’re afraid to quote is often a rate worth charging.
More tools and guides for freelancers
If you found this calculator useful, the Artificial Freelancer blog publishes practical AI tools, guides, and workflows for freelancers every Tuesday and Thursday.