Free Excel template · Excel for freelancers

Free freelance hourly rate calculator template

For freelancers setting or raising their rates. Start from the take-home pay you want, add your business expenses and a set-aside percentage you choose, then divide by the hours you can realistically bill. The calculator shows the minimum hourly rate, a rounded rate, a day rate, a monthly revenue target and the billable hours per week it takes.

cellwise-freelance-hourly-rate-calculator.xlsxExcel workbook · 4.0 KB · works in Excel, Google Sheets, Numbers and LibreOffice · no signup

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Preview and try it

This is the template's sheet, calculated by the same engine as the Cellwise app. Change any number to see the formulas react before you download.

	A	B	D	E
1	Freelance hourly rate calculator
2	Type your numbers in the blue cells (column B and E).
3
4	Take-home pay you want per year	60000	Expense	Per year
5	Set-aside % (taxes, savings: your choice)	0.25	Software and apps	1380
6	Business expenses per year	9000	Computer and equipment	1500
7	Weeks you work per year	46	Insurance	960
8	Hours you work per week	40	Coworking or home office	2400
9	Share of hours you can bill	0.6	Accounting and bank fees	900
10	Billable hours in a day	6	Training and books	600
11			Phone and internet	840
12	Billable hours per year	1104	Marketing and website	420
13	Profit needed before set-aside	80000
14	Revenue needed	89000
15	Minimum hourly rate	80.62
16	Rate rounded up to the next $5	85
17	Day rate	510
18	Monthly revenue target	7417
19	Billable hours per week to hit it	22.8

How the formulas work

Billable hours are fewer than you think

B12=ROUND(B7*B8*B9,0)

Weeks worked times hours per week times the share you can bill. Admin, sales calls, invoicing and learning all take time nobody pays for. At 60% billable, a 40-hour week bills 24 hours, so a year of 46 weeks gives 1,104 billable hours, not 2,080.

Gross up for your set-aside

B13=ROUND(B4/(1-B5),2)

If you set aside 25% of profit, the other 75% has to equal the take-home you want, so divide by (1 minus 25%), not multiply by 1.25. $60,000 / 0.75 = $80,000. The percentage is yours to choose; this template does not know your tax situation.

Minimum hourly rate

B15=ROUND(B14/B12,2)

Revenue needed (profit plus expenses) divided by billable hours. Below this rate you fall short of your goal even if you stay fully booked. With the sample numbers it is $80.62.

Round to a rate you can quote

B16=ROUNDUP(B15/5,0)*5

Dividing by 5, rounding up and multiplying back rounds to the next $5, so $80.62 becomes $85. Rounding up, never down, keeps you at or above the minimum.

Make it yours

Try a lower billable share in B9, such as 50%, to see what a slow quarter does to your rate.
Use the day rate for clients who prefer it, and the hourly rate as your floor when you price fixed-fee projects.
Weeks per year should leave room for holidays, sick days and quiet weeks between projects.
Revisit the numbers once a year, or when your expenses or hours change.

FAQ

How do I calculate my freelance hourly rate?

Add the yearly income you want (grossed up for any percentage you set aside) to your yearly business expenses, then divide by the hours you can actually bill in a year. That gives the minimum rate; round it up to a number you are comfortable quoting.

Why not just divide my old salary by 2,080 hours?

Because freelancers pay their own expenses, do unpaid admin and sales work, and take unpaid time off. Billable hours are often half to two thirds of hours worked, so salary / 2,080 badly undercharges.

What should I put as the set-aside %?

A percentage you choose for taxes and savings based on your own situation. The calculator only does the math; a tax professional can tell you what fits where you live.

Functions used

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Updated November 2, 2026