Sustainable Hourly Rate Calculator
As a solopreneur, artist or freelancer, it can be hard to know how to calculate your hourly rate. Even when you charge by the project or art work, it can be helpful to know your hourly rate so that you can more confidently price your work.
The Sustainable Hourly Rate Calculator prioritizes your personal and business needs. To find your hourly rate, you’ll base your numbers on what you need in order to thrive and on the actual time you spend on your work.
How to use this calculator
If your expenses or hours vary, use an average. If you’re not sure, you may need to track your expenses or time.
Your target annual business income
This is your desired salary + your business expenses + taxes.
Your taxes: If you don’t know your tax rate, add 20% of your desired salary + business expenses.
Example. If your desired salary + business expenses is $100,000, then your target annual business income is $120,000.
Total weekly hours you’re working in your business
This is all the hours you’re working, including your creative work, admin, marketing, sales, networking, meetings, grant writing, note taking.
Your weekly billable hours
This is the actual work you’re charging for: art making, creative work, research, client meetings, rehearsals, preparation, etc.
Number of weeks you’ll work during the year
Be realistic! Look at your yearly calendar and mark out holidays, vacations, rest, and don’t forget to add sick days.
Plug the numbers in and get your sustainable hourly rate!
NOTES
The Sustainable Hourly Rate is a tool.
Use it as a starting point to understand how your prices work or don’t. Use it as a goal and move your prices in that direction with intention.
Your hourly rate isn’t forever.
It will change depending on your evolving experience and money goals. It will change depending on the cost of living and what’s happening in your industry.
Review your hourly rate and prices regularly – every 6 months or a year.
It’s easy to underestimate your expertise and experience and the value of your work (hello, cultural conditioning!).
If the rate seems high, see if you can grow into it within yourself. Is it possible you’re underestimating your work’s worth?
If the market won’t support your rate, it may be time to evaluate what you’re offering. How can you modify your offers so they reflect the higher price?
If the rate seems too low according to your experience, demand for your work, inflation and what others are charging, what would be a more appropriate number?
And finally, this is what I want to say to you.
If you’re undercharging for your work because you have doubts about whether it’s worth the money or whether anyone would pay your rate, you may be equating work with your self worth (which is normal in our money- and work-obsessed culture.)
Instead, charge what you need to thrive. Set your rates based on real numbers – how much you work and how you actually spend your time.
The world is a better place when you flourish and we get to experience your gifts.