Hourly Rate Calculator
Set your desired annual income, how many hours you actually bill, your business overhead, and a target profit margin — this calculates the hourly rate that covers all of it.
Recommended hourly rate–
Billable hours per year–
Base rate (income ÷ hours)–
Overhead per hour–
Profit per hour–
Why "billable hours" isn't the same as "hours worked"
Most independent contractors and small business owners can only bill 20–30 hours of a 40-hour week — the rest goes to admin, sales, invoicing, and unpaid downtime. Using your full working hours instead of realistic billable hours is the most common reason freelancers underprice their time.
Hourly rate by profession
National wage benchmarks from the U.S. Bureau of Labor Statistics:
For informational purposes only. This calculator and the figures on this page are general estimates, not financial, tax, legal, or professional advice. Actual results vary by business, location, and circumstances — verify with a qualified professional before making decisions. Benchmark data last checked August 2026; see sources cited below.