Freelance Rate Calculator Australia
Calculate an estimated freelance hourly rate based on your income goal, working hours, billable time and annual business expenses.
How Does the Freelance Rate Calculator Work?
Freelancers usually cannot bill every hour they spend working. Time spent communicating with clients, preparing proposals, marketing, administration, learning and managing the business may not be billable.
This calculator therefore uses your estimated billable percentage to determine how many hours you can realistically invoice clients for.
Example
Imagine a freelancer wants an annual income of $80,000, works 40 hours per week for 48 weeks, expects 70% of their time to be billable and has $5,000 in annual business expenses.
The calculator first estimates total working hours, then applies the billable percentage to determine the approximate number of hours that can be invoiced.
What Is Billable Time?
Billable time is time that can be charged to a client. For example, a freelance designer may charge for designing a client’s website but may not charge the client for every hour spent on marketing, accounting or finding new clients.
What Expenses Should Freelancers Consider?
- Software subscriptions
- Computer and equipment costs
- Internet and communication costs
- Professional services
- Insurance
- Marketing and advertising
- Other legitimate business operating costs
Important Note
This calculator provides a planning estimate. It does not calculate Australian income tax, GST, superannuation or your specific tax obligations.
Your actual freelance rate may also depend on your experience, industry, services, client requirements, project complexity and market conditions.
Freelance Rate Calculator Australia – FAQ
What is a freelance rate?
A freelance rate is the amount a freelancer charges for their services, commonly expressed as an hourly, daily or project-based rate.
Why should I include non-billable hours?
Freelancers often spend time on tasks that cannot be directly invoiced to clients. Including non-billable time can give you a more realistic estimate of the rate required to reach your income goal.
What is a good billable percentage?
There is no single percentage that applies to every freelancer. Your billable time depends on your type of work, client management, sales, administration and other responsibilities.
Does this calculator include GST?
No. GST is not automatically added to the calculated rate. If GST applies to your situation, consider it separately when preparing your client pricing and invoices.
Can I use this calculator for project pricing?
Yes. You can use the estimated hourly rate as a starting point and multiply it by the estimated hours required for a project.