1 / 20

How to Calculate Your Hourly Freelance Rate

It will be difficult for new freelancers to decide ot calculate the hourly freelance rate. We have made this procedure easy for those freelancers. So watch this presentation to figure out what's your hourly charge should be!

LisaPatel
Download Presentation

How to Calculate Your Hourly Freelance Rate

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. How to Calculate Your Hourly Freelance Rate

  2. Are You Beginner in the World of Freelancer?

  3. Confused About How to Calculate Your Freelance Rate Per Hour?

  4. We Will Show You How to Calculate Freelance Hourly Rate Easily!

  5. Every new freelancer will have a question in mind… What Should I Charge to Survive? What Should Be My Freelance Hourly Rate? • Scroll the next pages to see the calculation.

  6. Step 1

  7. I want to make $50K per year! Determine Your Target Annual Salary $50,000/ Year

  8. Step 2

  9. Now You are self employed, So you will be having new expenses and overhead. It Includes office supplies, internet, electricity bills, project management tools, phone bills, Paid softwares, promotion and marketing, allowances for uncollected payments, tax, food and accommodation etc. Suppose all this expenses cost you =$30,975/ Year

  10. Step 3

  11. Now, Calculate Annual Salary = Target Salary + New Expenses = $50,000 + $30,975 = $80,975

  12. Step 4

  13. Calculate Your Number of Billable Hours per Year! While Calculating the number of hours, you should consider the below factors: • Vacations • Holidays • Sick Days etc.

  14. Working hours per year = 2080 Three weeks vacation = 120 (15 Eight Hours Days) Seven Holidays = 56 (7 Eight Hours Days) Five sick days = 40 (5 Eight Hours) Total Off Hours Per Year = 216 Hours

  15. To calculate total billing hours, follow the below calculation: Total billing hours = Working Hours Per Year – Total Off Hours Per Year = 2080 – 216 = 1864 Hours

  16. The non-billable activities that you will be performing are signing new clients each week, making phone calls emailing, marketing, performing an administrative task and much more. Assuming non-billable time as 25% calculate the actual billable hours per year. The actual billable hours per year = 1864*0.75 = 1398 Hours Total Billing Hours = 1398 Hours

  17. Step 5

  18. Divide the total annual salary by billable hours per year. Total annual salary/actual billable hours = $ 80975 / 1398 hr = $ 57.92 Per hour

  19. Yay….! You Got Your Hourly Freelance Rate! That is $ 57.92 Per hour That can be rounded to = $ 58 / Hour

  20. Visit https://www.gicree.com/ And Hire Dedicated Freelance Professionals for Your Business. Contact US: contact@gicree.com Explore our Blog: https://www.gicree.com/blog/

More Related