Frequently Asked Questions
Everything you need to know about calculating your rate.
Is this calculator free?
Yes, this tool is 100% free for freelancers, agencies, and contractors.
How much should I add for taxes?
We recommend setting aside at least 25-30% of your income for taxes. In the calculator, you can include this in the "Profit Margin/Buffer" section or add it to your monthly expenses.
What counts as a "Billable Hour"?
A billable hour is time spent directly working on a client's project that you can invoice for. Admin work, marketing, sales calls, and learning new skills are typically non-billable.
Why is my recommended rate so high?
Most freelancers underestimate their costs. When you factor in insurance, software, rent, and the fact that you only bill 20-30 hours a week, your rate needs to be higher to cover the unbilled time.
Should I display my rate on my portfolio website?
It depends. Displaying a "starting at" price filters out low-budget clients, but hiding it allows you to negotiate value-based pricing for larger projects.