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The Freelancer Toolkit: Price, Quote, Get Paid, Keep It

Most freelance money problems come from one of four places: a rate that's too low, a quote that ignores the real hours, invoices that get paid late, or a tax bill nobody saved for. Each has a simple piece of math behind it, and each is easy to get wrong in a spreadsheet at 11pm.

This toolkit puts the calculators in the order a project actually runs. Start with your rate, use it to quote, track and invoice the work, then keep enough of the payment. Every tool shows its formula, so you can explain your numbers to a client or an accountant.

  1. 1. Set a rate that covers your real costs

    Work backwards from the income you need, not forwards from a salary. Unbilled hours, holidays, tax and software all have to come out of your rate. Then decide whether to charge by the hour, the day, a monthly retainer or the value you create.

  2. 2. Quote projects and protect the scope

    Turn hours into a fixed price with a buffer, and price every change request as it comes in. If one client takes far more time than they pay for, measure what replacing them would be worth.

  3. 3. Invoice and get paid on time

    Convert tracked time to decimal hours, put a clear due date on every invoice, and know what you're owed when a client pays late. If you work through a platform or get paid from abroad, check what fees and exchange rates really take.

  4. 4. Keep what you earn

    Set aside tax from every payment, raise long-running retainers in line with inflation, and let savings compound. For country-specific tax, see the country toolkits below.

Questions people ask

What's the first calculator a new freelancer should use?

The Freelance Hourly Rate Calculator. Almost every other number, from quotes to retainers, starts from a rate that covers your income target, unbilled time, tax and expenses.

Should I charge hourly, daily or per project?

Hourly suits open-ended work, day rates suit on-site or embedded contracts, fixed project prices suit well-defined work, and value-based pricing suits projects with a large, measurable outcome. Many freelancers mix them depending on the client.

How much of each payment should I save for tax?

It depends on your country and income. The Freelancer Tax Set-Aside Calculator works it out from your own rates, and the country toolkits cover the US, UK, Australia, Canada, India, Pakistan and Saudi Arabia in detail.