Setting your freelance hourly rate is one of the hardest decisions you'll make. Charge too little, and you'll burn out. Charge too much, and you'll lose clients.
Most freelancers calculate: desired salary ÷ hours worked. This ignores expenses, taxes, and profit — leading to a rate that's 30-50% too low.
A sustainable rate includes:
A designer who wants $75,000, spends $6,000/year on expenses, pays 30% taxes, works 28 billable hours/week, takes 4 weeks off, and wants 25% profit would need to charge approximately $85/hour.
Instead of doing the math manually, try our free freelance rate calculator. It does all the calculations instantly.
Your rate should go up every 12-18 months. As you gain skills and experience, raise your prices. Past clients can stay at old rates; new clients pay the new rate.
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