Start from the income you actually want to take home. This works backwards through your expenses, taxes and — the part everyone forgets — the hours you can't bill.
| Line | Amount |
|---|---|
| Billable hours per year | |
| Revenue you must bring in (after the tax set-aside and profit margin) | |
| Equivalent day rate (8 billable hours) | |
| Equivalent weekly revenue at this rate |
The classic mistake is dividing a salary by 2,080 hours — as if every working hour were billable and taxes didn't exist. In reality, a big slice of your week goes to finding work, admin and revisions you can't bill; you owe self-employment tax an employee never sees; and your rate has to carry your software, insurance and gear. This calculator puts all three back in, so the number it gives you is the rate that actually delivers the income you typed in — not the rate that sounds competitive.
The tax set-aside is a planning estimate you choose, not a tax calculation. Your real tax bill depends on your situation — this tool is for estimation only, not tax, accounting, or financial advice. Last updated November 2026.