$

What you want to earn after taxes and expenses

$

Software, equipment, insurance, etc. (0 if none)

Vacation + public holidays (typically 2–6)

Hours you can bill clients (not admin/sales time)

How your rate is calculated

01

Start with your goal

Add your target income and business expenses. This is what you need to bring in before taxes. That total is your gross revenue floor.

02

Add SE tax

Self-employed people pay ~14.1% SE tax on net income. We add this to your revenue requirement so you don't undercharge and get hit with a surprise tax bill.

03

Add a 20% buffer

You won't bill every available hour. Admin, sales, and slow months eat into your time. Plan for ~80% utilization. The buffer protects your income when reality hits.