For contractorsBusiness ownersWhat to charge

Contractor Billable Hourly Rate Calculator

Find the minimum sell rate per billable hour so your pay (or tech wage), labor burden, non-billable time, overhead, and target net margin are covered. Built for owners setting a rate card — not for homeowners shopping prices.

Calculate your billable rate

What you want to earn before burden.
Enter percent points.
Enter percent points.
Margin-on-price, not markup.
Required sell / bill rate
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Break-even $/hr
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Labor cost / billable hr
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Overhead / billable hr
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This calculator is a self-serve math tool for business owners. Figures you enter are yours; UI defaults are examples only, not recommendations or advice.

Methodology

One cost-up chain — wage → burden → utilization → overhead → margin-on-price → bill rate:

1. annual_wage = hourly_pay × paid_hours_per_year 2. burdened_labor = annual_wage × (1 + burden_pct) 3. billable_hours = paid_hours_per_year × utilization_pct 4. labor_per_billable = burdened_labor / billable_hours 5. overhead_per_billable = annual_overhead / billable_hours 6. cost_per_billable = labor_per_billable + overhead_per_billable 7. bill_rate = cost_per_billable / (1 − target_margin)