Freelance Hourly Rate Calculator
Work backwards from the income you need, the hours you can actually bill and the costs you carry, to an hourly rate you can quote with a straight face.
This is a planning framework, not an official rate — there is no government "how to price your freelance hour" table. Every assumption below is editable.
Advanced: self-funded benefits
PhilHealth is computed automatically (5% of your target income, official floor/ceiling applied) — see the note below.
- Annual take-home target
- ₱600,000.00
- + 13th-month reserve
- ₱50,000.00
- + PhilHealth (self-employed)
- ₱30,000.00
- + SSS (self-employed)
- ₱18,000.00
- + Pag-IBIG
- ₱2,400.00
- + HMO/insurance reserve
- ₱0.00
- Required gross receipts (after tax, with overhead)
- ₱813,521.74
- ≈ per month at this rate
- ₱73,442.42
The tax gross-up assumes the 8% flat-tax option (NIRC Sec. 24(A)(2)(b), ₱250,000 deduction) — the simplest to invert algebraically. If your income is high enough that graduated tax + percentage tax could be cheaper, cross-check with the freelancer tax calculator. PhilHealth self-employed premium: 5% of target income, ₱10,000 floor / ₱100,000 ceiling — effective 2026.
This is a planning estimate, not tax advice or a guaranteed market rate. Verify your own tax situation with BIR or an accountant.
Frequently asked questions
- How do I work out a freelance hourly rate?
- Start from the annual income you need, add the costs the client never sees — software, hardware, internet, taxes, unpaid admin time, time off — then divide by the hours you can realistically bill. That last number is where most people go wrong: a 40-hour week is rarely more than 25 billable hours once admin, pitching and dead time are removed.
- Why is my calculated rate higher than what clients advertise?
- Because advertised rates are usually employee-equivalent and quietly ignore everything an employer normally absorbs — benefits, equipment, paid leave, downtime, employer-side contributions. A freelance rate that matches a salaried hourly figure is effectively a pay cut.
- Should I charge hourly or per project?
- Per project once you can estimate reliably, because it stops rewarding you for being slow and lets you keep the upside of getting faster. The hourly figure is still worth computing: it is the floor you check any project quote against.
- How many billable hours should I assume?
- Between 20 and 30 a week for most solo freelancers working full time. Anything above 30 assumes you spend essentially no time on pitching, invoicing, revisions or admin, which is not how freelance work behaves in practice.
Estimates only — not tax, legal or financial advice. Rules change and individual circumstances vary; confirm with the relevant agency or a qualified professional before acting on a figure. Tool build 2026-07-27.1.