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Day Rate Calculator

Calculate your optimal consulting day rate based on your desired income. Factor in taxes, overhead, and billable days to set competitive rates.

Key Features

  • Calculate day rate from target income
  • Account for non-billable time
  • Factor in taxes and expenses
  • See monthly and annual projections
  • Adjust for billable days per year
  • State-specific tax calculations

Hourly Rate

£/hr
£87.5/hr£200/hr

Weekly Hours

4060

Country

Account for PTO
Business costs
£
Savings
£
Take-Home Pay
£92,053

per year after taxes

£7,671

Monthly

£1,770

Weekly

£44

Hourly

Income Breakdown61% take-home
Gross Income£161,000
Income Tax-£48,450
National Insurance/Social Security-£3,220
Deductions-£11,500
Total Taxes
£51,670(32.1%)

Gross Annual

£161,000

Gross Monthly

£13,417

Gross Weekly

£3,096

Effective Rate

£47/hr

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About This Calculator

Day rate pricing is popular among consultants, contractors, creatives, and skilled professionals who want predictable project pricing while maintaining fair compensation. Unlike hourly billing, a day rate provides simplicity for both you and your clients.

When calculating your day rate, consider:

A standard day is typically 8 hours of focused work. Your day rate should account for: - Your target annual income - Non-billable time (admin, sales, learning) - typically 20-30% of working time - Self-employment taxes (15.3%) - Business expenses and overhead - Professional tools, software, and equipment - Health insurance and benefits

To calculate your day rate: 1. Determine your target annual take-home pay 2. Add 30% for taxes and expenses 3. Divide by your billable days per year (typically 200-220)

For example, if you want $100,000 take-home: $100,000 × 1.3 = $130,000 needed $130,000 ÷ 220 billable days = $591/day Round up to $600-650/day for cushion

Day rates also offer flexibility. You can complete work efficiently without penalizing yourself, while clients know exactly what they'll pay upfront.

Example Calculations

$100K target income

Day rate: ~$600-650

$150K target income

Day rate: ~$900-950

Standard billable year

200-220 days

Hourly to day rate

Multiply by 8, add 15%

FAQ

Frequently Asked Questions

Common questions about contractor taxes and take-home pay calculations.

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