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Salary & Taxes

Contractor Day Rate

Day and hour rates from a target annual income

Runs locally in your browser

Parameters

Results

Day rate
$867
Hourly rate
$108.33
Gross to bill / year
$156,000

Buffer covers unpaid time, benefits, equipment, and self-employment tax — adjust to your situation.

How it works

Backs into day and hour rates from a target income with an overhead/tax buffer.

Who it's for: Freelancers and contractors setting sustainable rates.

Gross to bill = target × (1 + overhead%).

Day rate = gross ÷ billable days.

How to use

  1. Enter Target annual income, Billable days, Hours/day, and Overhead buffer.
  2. Increase buffer if you have expensive benefits or long sales cycles.

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