Your minimum rate is the floor below which you cannot go without losing money relative to your goals. Most freelancers do not know their real minimum. This calculator finds it from your actual numbers.
// frequently asked questions
What is a minimum freelance rate?
Your minimum rate is the lowest hourly rate at which you can meet your income goal after accounting for taxes, business expenses, non-billable time, and slow periods. Charging below this means you are effectively subsidising your clients.
How do I calculate my minimum freelance rate?
Take your target annual net income, add taxes and expenses to get gross income needed, then divide by your realistic billable hours per year. This calculator does this automatically. Add a buffer on top for a sustainable rate.
What happens if I charge below my minimum rate?
You end up earning less than your income goal, potentially working more hours to compensate, and burning out. Knowing your minimum rate prevents you from taking on work that does not make financial sense.