Why most freelancers undercharge (and the maths behind fixing it)

📰 Dev.to · Nuno

Learn how to calculate your ideal freelance rate and avoid undercharging using simple math

beginner Published 22 May 2026
Action Steps
  1. Calculate your desired annual income
  2. Determine your available work hours per year
  3. Divide your desired income by available work hours to get your hourly rate
  4. Research your industry's standard rates to compare and adjust
  5. Apply a margin to account for expenses, taxes, and other business costs
Who Needs to Know This

Freelancers and solo entrepreneurs can benefit from this lesson to increase their earnings, while project managers and business owners can use it to set fair rates for their contractors

Key Insight

💡 Your freelance rate should be based on your desired income, available work hours, and industry standards, not just what others charge

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💸 Did you know most freelancers undercharge? Learn the math behind setting your ideal rate and boost your earnings!
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