Set an hourly, daily or project rate that hits your income goal.
Please do not make financial decisions based on these results.
What is the Consulting Fees Calculator?
Set an hourly, daily or project rate that hits your income goal. To use the Consulting Fees Calculator, enter target annual income, annual business costs, working weeks per year, billable hours per week, profit buffer; it returns hourly rate needed, daily rate (8 hours), billable hours per year, monthly retainer, and shows them instantly as you type.
Where the Consulting Fees Calculator fits
Set an hourly, daily or project rate that hits your income goal. The main figure it returns is the Hourly rate needed, worked out from the values you enter.
It belongs with the other business planning tools. If you are comparing options or checking a result from another angle, try the Labor Cost Calculator, Sales Commission Calculator or the EVM Calculator.
How to use the Consulting Fees Calculator
- Enter your numbers. Start with Target annual income ($), Annual business costs ($), Working weeks per year, then fill in Billable hours per week, Profit buffer (%). Use figures from the same period (same month, quarter or year) for every field. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the Hourly rate needed, and the cards below show Daily rate (8 hours), Billable hours per year, Monthly retainer. 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 Consulting Fees Calculator using the default values shown in the calculator above:
Inputs
| Target annual income ($) | 120,000 |
|---|---|
| Annual business costs ($) | 18,000 |
| Working weeks per year | 46 |
| Billable hours per week | 25 |
| Profit buffer (%) | 10 |
Results
| Hourly rate needed | $132.00 |
|---|---|
| Daily rate (8 hours) | $1,056.00 |
| Billable hours per year | 1,150 |
| Monthly retainer | $12,650.00 |
With these inputs the calculator returns Hourly rate needed: $132.00. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Target annual income ($) from 120,000 to 144,000 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| Hourly rate needed | $132.00 | $154.96 | +17.4% |
| Daily rate (8 hours) | $1,056.00 | $1,239.65 | +17.4% |
| Billable hours per year | 1,150 | 1,150 | 0% |
| Monthly retainer | $12,650.00 | $14,850.00 | +17.4% |
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 Consulting Fees Calculator reports Hourly rate needed, daily rate (8 hours), billable hours per year and monthly retainer. 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
How do consultants choose a rate?
Start with desired income plus overhead, divide by realistic billable hours, then compare with market rates.
Can these calculators replace an accountant?
No. They give fast estimates from your inputs. Use an accountant for tax, audited accounts and valuation reports.
Can I use these for a business plan?
Yes. They give quick estimates for break-even, valuation, budgets and project returns. Confirm important figures with your accountant before relying on them.
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.
Related business planning calculators
- Labor Cost Calculator
- Sales Commission Calculator
- EVM Calculator
- Lemonade Stand Calculator
- Safety Stock Calculator
- Accumulated Depreciation Calculator
- Burndown Chart Calculator
- Effective Corporate Tax Rate Calculator
- Burn Rate Calculator
- Break-even Calculator
- Contribution Margin Calculator
- Average Fixed Cost Calculator
All Business Planning calculators →