Freelance Hourly Rate Calculator
Start with what you want to take home. We work backward through taxes, expenses, time off and unbilled hours to the rate you should charge.
| Take-home goal | |
| Business expenses | |
| Federal taxSelf-employment + income tax | |
| Revenue you need | |
| Billable hours per year |
State income tax isn’t included. Add a few dollars per hour if your state taxes income.
How this is calculated
We search for the yearly revenue where revenue − expenses − federal tax equals your take-home goal. Tax includes 2026 self-employment tax and income tax with the standard deduction and QBI deduction. Then:
Hourly rate = revenue ÷ (billable hours per week × (52 − weeks off)).
Figures for tax year 2026. Full method and sources on our methodology page.
Common questions
How many billable hours should a freelancer plan for?
Rarely 40. Admin, sales, invoicing and learning take time. Many full-time freelancers bill 20–30 hours a week. Start with a lower number and raise it once you see your real pattern.
How do I convert a salary to a freelance rate?
A quick rule is salary ÷ 1,000 for a rough hourly rate (so $80,000 → $80/hour), because it builds in taxes, unpaid time and benefits. This calculator gives a more exact number for your situation.
Should I include health insurance?
Yes. Add your yearly premiums to your take-home goal (or to expenses). If you’re self-employed and not eligible for an employer plan, premiums are often deductible, which this simple estimate doesn’t include, so your real tax may be a little lower.
Last updated September 28, 2026. This calculator gives an estimate for federal taxes only and isn’t tax advice. State and local taxes aren’t included.