How many billable hours should I plan for?

Typically, freelancers and service providers can bill 60-70% of their working hours. If you work 2,000 hours/year, plan for 1,200-1,400 billable hours after accounting for admin, marketing, and downtime.

What costs should I include in overhead?

Include rent, utilities, equipment, software subscriptions, insurance, marketing, professional development, taxes, and any other business expenses that occur regardless of client work.

How do I stay competitive with my rates?

Research competitors in your area and specialty. Consider your experience level and unique value. Start slightly below market if new, but plan to increase rates as you build reputation and demand.

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Service Manager

Service Hourly Rate Calculator

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Calculate the ideal hourly rate for your services

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The Service Hourly Rate Calculator helps service businesses determine the optimal pricing for their time. Factor in your costs, desired profit margin, and billable hours to set competitive rates that ensure profitability while staying attractive to clients.

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Quick — under 90 seconds

How to Use

1 Enter your annual salary goal or desired income 2. Add your business overhead costs (rent, insurance, tools) 3. Estimate your billable hours per year (typically 1,000-1,500) 4. Set your target profit margin 5. Calculate your minimum hourly rate 6. Compare with market rates and adjust

Benefits

Price services profitably

Cover all business costs

Set competitive rates

Understand true hourly value

Plan for growth

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