📖 Overview
Use this calculator to project your monthly earnings and annual revenue from a freelance hourly rate.
🧪 Example Scenarios
Use these default and higher-pressure example inputs to explore how sensitive this calculator is before using your real numbers.
| Input | Base Case | Higher Pressure Case |
|---|---|---|
| Hourly Rate ($) | 75 | 90 |
| Hours Per Week | 35 | 42 |
⚙️ How It Works
Converts an hourly rate to monthly and annual income estimates based on a standard 52-week year.
The Formula
Annual = Rate × Hours/Week × 52 | Monthly = Annual ÷ 12
💡Freelancers should target at least 30% higher than equivalent employee rate to cover self-employment taxes, benefits, unpaid time, and business costs.
Quick Reference
| Hourly Rate | 20 hrs/wk | 30 hrs/wk | 40 hrs/wk |
|---|---|---|---|
| $20/hr | $20,800/yr | $31,200/yr | $41,600/yr |
| $50/hr | $52,000/yr | $78,000/yr | $104,000/yr |
| $75/hr | $78,000/yr | $117,000/yr | $156,000/yr |
| $100/hr | $104,000/yr | $156,000/yr | $208,000/yr |
When To Use This
- Use this tool when you need a fast decision during active planning or execution.
- Use this before committing money, time, or tradeoffs that are hard to reverse.
- Use this to compare options using the same assumptions across scenarios.
Edge Cases To Watch
- Results can be misleading if key inputs are missing, stale, or unrealistic.
- Very small or very large values may amplify rounding effects and interpretation risk.
- If assumptions change mid-decision, recalculate before acting.
Practical Tips
💡 Build in a non-billable hours buffer (admin, sales, gaps between contracts).
💡 Track your effective hourly rate: total income ÷ total hours worked (including unbillable).
💡 Run a best-case, base-case, and worst-case scenario before deciding.
💡 Use recent real values, not ideal assumptions, for better accuracy.
Frequently Asked Questions
❓ Does this include taxes?
No — this is gross income. Deduct self-employment tax (15.3% in the US) plus income tax for net.
❓ How many billable hours are realistic per year?
Typically 1,200–1,600 hours for a full-time freelancer after accounting for gaps and admin.