Calculate exactly what you need to charge per hour as a freelancer to hit your take-home income goal after taxes, expenses, and unpaid time.
When you freelance, you pay both sides of Social Security and Medicare (15.3%), cover your own health insurance, get no paid vacation, and spend unpaid time on admin, marketing, and client acquisition. A freelancer charging the same rate as an employee is significantly underpaid.
A common rule of thumb: charge at least 2x your equivalent employee hourly rate to account for taxes, benefits, unpaid time, and business expenses. If an employee earns $40/hr, a freelancer providing the same value should charge $75–$100/hr.