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Freelance Rate Calculator

Harvest empowers freelancers to accurately calculate their rates by tracking both billable and non-billable hours, ensuring no expense is overlooked.

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What should you charge per hour?

Most freelancers and consultants dramatically undercharge. This calculator accounts for what most people miss: non-billable time, taxes, and overhead.

$
Accounting for vacation, holidays, sick days
60%
Most freelancers can bill 50-70% of their time. The rest goes to admin, marketing, proposals, and learning.
$
Software, insurance, equipment, accounting, taxes beyond income tax, etc.
Your break-even rate $0
Recommended rate (+20% buffer) $0
Billable hours per week 0h
Equivalent daily rate $0

Start tracking your billable hours

How this hourly rate calculator works

It works back from the income you need to the rate you must bill, accounting for the hours you can't bill.

  • Billable hours/year = working weeks × hours per week × billable %.
  • Break-even rate = (target income + business expenses) ÷ billable hours.
  • Recommended rate = break-even plus a 20% buffer for taxes, slow periods, and profit.

Raising your billable percentage or trimming expenses lowers the rate you need.

Freelance Rate Calculator with Harvest

Explore Harvest's tool to calculate freelance rates, factoring in billable hours and expenses for an accurate rate.

Harvest freelance rate calculator screenshot

Freelance Rate Calculator FAQs

  • When calculating your freelance rate, consider desired income, business expenses, and taxes. Include non-billable hours to ensure your rate covers all working time. Research industry benchmarks to adjust for market demand and experience level.

  • To input expenses and income goals into a rate calculator, list all business costs and desired annual income. Include software, equipment, and tax estimates. Divide the total financial need by estimated billable hours for your hourly rate.

  • Yes, industry-specific considerations include average rates in your field, geographic location, and the demand for specialized skills. For example, tech freelancers often command higher rates due to specialized skill sets.

  • Adjust your freelance rates by researching competitor rates and industry benchmarks. Consider your experience and the value you provide. If demand for your skills is high, increase your rates to reflect your expertise and market conditions.

  • Freelancers must consider self-employment tax (15.3% in the U.S.) and income tax. Quarterly estimated tax payments are often required. Deductible expenses can reduce taxable income, so keep thorough records.

  • Harvest allows you to track non-billable hours separately from billable tasks, giving you a comprehensive view of your time. This helps in calculating an accurate hourly rate that reflects all work activities.

  • Yes, Harvest enables tracking of specific expenses like software subscriptions and equipment costs. This feature assists freelancers in including all relevant expenses in their financial calculations.