Hourly Rate and Freelance Calculator
Convert salary to an hourly wage or calculate a required freelance rate
Two different hourly values
Salary mode divides annual salary by the working hours you enter. Self-employed mode must also fund business costs, a profit or reserve target, and time that cannot be billed.
Make billable utilization explicit
The calculator subtracts vacation, sick leave, holidays, and other days off from potential working days. Use the billable share for administration, sales, training, and downtime. There is no hidden utilization or tax allowance.
Interpret the result
The calculated rate and optional project price are mathematical minimums based on your assumptions, not market-price recommendations. Personal taxes, social contributions, sales tax, discounts, and payment risk are not added automatically.
Frequently Asked Questions
How do I convert annual salary to an hourly wage?
Divide annual salary by working hours per week multiplied by working weeks per year. Account for vacation and other time off through the number of working weeks.
Which weekly hours should I use?
Use your contracted or realistic average working time. Include regular overtime when you want to compare the hourly value actually earned.
How do vacation, holidays, and sick leave count?
In salary mode, reduce working weeks. In freelance mode, enter vacation, sick leave, holidays, and other days off separately.
How should I handle overtime?
Unpaid overtime increases hours worked and therefore reduces the effective hourly value. Paid overtime can be included in both salary and working time.
Are taxes and social contributions included?
No. Freelance mode plans compensation before personal taxes. Enter business costs and reserves explicitly; personal taxes and contributions are not estimated automatically.
How can I compare employment with freelancing?
Do not compare only the displayed hourly values. Also consider benefits, risk, unpaid time, and personal taxes that this universal calculator does not evaluate.