Hourly rate calculator
What your hour is worth — as an employee and as a freelancer.
Two calculations in one. As an employee, it starts from salary and hours to show what an hour, a day and even a minute is worth. As a freelancer, it works backwards: you say how much you want to earn and what your costs are, and it computes the minimum price of your hour, accounting for time off and non-billable hours.
How to use
- On the employee tab, enter salary and weekly hours to see the value of an hour, a day and a minute.
- On the freelancer tab, enter target monthly income and fixed costs.
- Adjust hours per day, days per week, weeks off and the billable share.
- The tool shows the minimum price of your hour and a suggested day rate.
Knowing your hourly value changes decisions
With an hourly figure, several questions answer themselves: whether an extra job is worth it, what a two-hour meeting with four people costs, whether to pay someone instead of doing it yourself.
Freelance pricing: the non-billable trap
The costliest freelance mistake is dividing target income by hours worked. Much of your time never becomes an invoice — proposals, email, study, admin, rework. In practice 55% to 70% of hours are billable.
The right calculation is (target income + fixed costs) × 12 ÷ billable hours per year.
What has to fit inside your hour
As a freelancer you are the company: taxes, social security, time off, equipment, software and gaps between clients all come out of what you bill. If those are not in fixed costs or inside the target income, the rate comes out unrealistic.
Frequently asked questions
Why divide by 220 hours and not 160?
Because Brazilian monthly hours are weekly hours × 5 (44 × 5 = 220), which includes paid weekly rest. That is the basis employers use for overtime and absence deductions.
How do I price my hour as a freelancer?
Add your target income and fixed costs, multiply by 12 and divide by the hours you can actually bill in a year. The common mistake is dividing by hours worked instead of hours billed.
What is the billable share?
The slice of your time that becomes an invoice — usually 55% to 70%. The rest is prospecting, quoting, studying, admin and rework.
Should taxes be included?
Yes. As a freelancer, taxes, social security and time off come out of your own revenue — put them in fixed costs or inside the target income.