Turn a revenue goal into billable hours and utilization targets.
Please do not make financial decisions based on these results.
What is the Billable Hours Calculator?
Turn a revenue goal into billable hours and utilization targets. To use the Billable Hours Calculator, enter revenue goal, hourly rate, available hours per year; it returns billable hours needed, utilization needed, billable hours per week (48 weeks), and shows them instantly as you type.
Where the Billable Hours Calculator fits
Turn a revenue goal into billable hours and utilization targets. The main figure it returns is the Billable hours needed, worked out from the values you enter.
It belongs with the other hr & workforce tools. If you are comparing options or checking a result from another angle, try the Full-time Equivalent (FTE) Calculator, Absence Percentage Calculator or the Attrition Rate Calculator.
How to use the Billable Hours Calculator
- Fill in the fields. You will need Revenue goal ($), Hourly rate ($), Available hours per year. Use real figures from your own records where you can. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the Billable hours needed, and the cards below show Utilization needed, Billable hours per week (48 weeks). Tables and charts break it down further.
- Test other scenarios. Results update as you type. Change one value at a time to see what drives the answer, and press Reset to go back to the defaults.
Formula and how it works
Example with real numbers
Here is the Billable Hours Calculator using the default values shown in the calculator above:
Inputs
| Revenue goal ($) | 150,000 |
|---|---|
| Hourly rate ($) | 90 |
| Available hours per year | 1,900 |
Results
| Billable hours needed | 1,667 |
|---|---|
| Utilization needed | 87.72% |
| Billable hours per week (48 weeks) | 34.7 |
With these inputs the calculator returns Billable hours needed: 1,667. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Revenue goal ($) from 150,000 to 180,000 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| Billable hours needed | 1,667 | 2,000 | +20% |
| Utilization needed | 87.72% | 105.26% | +20% |
| Billable hours per week (48 weeks) | 34.7 | 41.7 | +20% |
The input that moves the result most is the one to check twice. Change it in the calculator above to test your own case.
What the results tell you
The results panel of the Billable Hours Calculator reports Billable hours needed, utilization needed and billable hours per week (48 weeks). Compare these figures while changing one input at a time, and use the related calculators below to look at the same situation from another angle.
Method and limits. This calculator applies the formula in the section above to your inputs, in your browser; nothing you enter is stored on our servers. The result is only as accurate as the numbers you enter and the formula shown above. It is for information, not financial, tax or legal advice.
Frequently asked questions
What utilization should I plan for?
Many professionals plan for 60% to 75% of working hours to be billable.
How do I calculate turnover rate?
Divide the number of leavers by the average headcount for the period and multiply by 100.
Are the safety rates the OSHA method?
Yes. TRIR and DART use the OSHA formula with the 200,000-hour base.
Are the results guaranteed?
No. Results depend entirely on the numbers you enter and the formulas shown on this page. Please do not make financial decisions based on them alone; confirm important figures with a licensed professional.
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