Freelancer Hourly Rate Calculator
Turn your annual income target, overheads and billable hours into a suggested minimum hourly rate.
Build a rate from income, overheads and billable hours.
Use the calculator below to create a quick planning estimate based on the figures you enter. Results are for guidance and should be checked against current UK tax rules and HMRC guidance where appropriate.
Freelancer Hourly Rate Calculator
ADVERTISE HEREPromote your business to Accounting Hire visitors.Ask about advertising opportunities →Freelancer Hourly Rate Calculator
Build a rate from income, overheads and billable hours.
This is a commercial pricing tool, not a tax calculation. Consider experience, demand, holidays and non-billable work when setting a real rate.
How to use this calculator
Enter the figures that best match your situation and select the calculation button. The result is intended as a useful planning estimate rather than a substitute for a tax return or professional advice.
Keep your figures up to date when tax rates, thresholds, costs or business circumstances change.
Frequently Asked Questions
What does the Freelancer Hourly Rate Calculator calculate?
It estimates an hourly rate from desired annual income, business overheads, billable hours and a tax/profit buffer.
Why are billable hours lower than working hours?
Freelancers spend time on sales, administration, marketing, training, holidays, sickness and other non-billable work. A realistic rate needs to account for that time.
What should I include in overheads?
Consider software, insurance, equipment, accounting, professional memberships, marketing, phone and internet costs, office costs and other genuine business expenses.
Does the result guarantee the right market rate?
No. Your market rate also depends on experience, specialist skills, demand, sector, location, competition and the value delivered to clients.
Should I review my hourly rate regularly?
Yes. Review it when your costs, target income, availability, experience or market positioning changes.
Important information
This calculator provides an estimate for general planning and educational purposes. It is not a tax return, accounting record or personalised professional advice. Tax rules, rates and thresholds can change, and individual circumstances can affect the result.