Freelance Day Rate Calculator
Enter the annual income you want and your billable days per year to see the day rate you need to charge.
| Day rate | |
| Weekly (5 billable days) | |
| Hourly equivalent |
How to calculate a freelance day rate
Divide the annual income you want to earn by the number of days you can realistically bill each year: day rate = target annual income ÷ billable days. For example, to earn $90,000 across 180 billable days, you need 90,000 ÷ 180 = $500 per day. At 8 working hours a day, that is 500 ÷ 8 = $62.50 per hour, and a full 5-day billable week comes to 500 × 5 = $2,500.
The key input is billable days, not calendar days. A year has about 260 weekdays, but after holidays, sick days, admin, marketing, and gaps between projects, many freelancers only bill 150–200 days. Overestimating billable days is the most common reason freelancers undercharge.
Also remember that a freelance day rate must cover costs an employee never sees: self-employment taxes, health insurance, retirement savings, software, and equipment. Many freelancers add 20–40% to the target income for these before dividing by billable days.
Frequently asked questions
How many billable days per year should I assume?
Start from roughly 260 weekdays, then subtract vacation, public holidays, sick days, and non-billable time such as admin, invoicing, and finding clients. Most full-time freelancers land between 150 and 200 billable days per year; 180 is a common planning number.
Should my day rate include taxes and business expenses?
Yes. Your target annual income should be gross revenue, not take-home pay. Add self-employment taxes, health insurance, retirement contributions, software, and equipment to what you want to keep, then divide that larger figure by your billable days.
Is a day rate better than an hourly rate?
Day rates suit project work where clients book blocks of your time, and they avoid arguments over individual hours. Hourly rates fit small, unpredictable tasks. Many freelancers quote a day rate and use the hourly equivalent only for short engagements.