TOOLS / FOR SELLERS

The rate you actually need

Most freelancers price from vibes and undercharge by 40–60%. This works backwards from the life you want to the rate that funds it.

$
$
Software, gear, insurance, workspace, marketing.
Vacation + holidays + the sick days you'll pretend not to take.
Not working hours. Admin, marketing, and proposals don't invoice.
%
Self-employment + income tax set-aside. 25–30% is a common starting point — confirm with an accountant.
HOURLY RATE$—
DAY RATE (6 BILLABLE HRS)$—
GROSS REVENUE NEEDED$—

How this is calculated

Take-home income plus business costs, grossed up for the tax set-aside, divided by your real billable hours:(income + costs) ÷ (1 − tax%) ÷ (billable hours × working weeks). The two numbers people get wrong are billable hours (a full-time freelancer bills 20–30 hours in a 40-hour week, not 40) and the tax buffer (nobody withholds it for you anymore).

This is your floor — the rate below which working is losing money. It is not your price. Where to go from the floor is covered inhow to price your services, and if a marketplace takes a cut of that rate, the commission calculator shows what your floor really is after fees.