Set salary and overhead
Your target take-home plus annual overhead forms the base cost to recover.
SUSTAINABLE RATE CALCULATOR
Hourly Rate Calculator
Calculate a sustainable hourly billing rate from your salary target, overhead, utilization, and target margin.
- Uses your inputs in a transparent calculation
- Instant result with practical next steps
- No signup required
Planning guidance only. Validate important decisions with customer evidence and your delivery team.
YOUR INPUTS
Build your result
Complete every field. The result updates only when you choose Calculate.
How it works
Add utilization
Billable hours per year are calculated from 2,080 working hours times your utilization rate.
Apply margin
The break-even rate is multiplied by your target margin to produce the final billing rate.
Continue learning: Hidden costs in MVP pricing · Fixed-fee vs hourly MVP pricing
Frequently asked questions
What utilization rate should I use?
Most independent consultants bill 50-75% of their working hours; above 80% is optimistic for most people.
Should overhead include my own salary?
No — enter your target salary separately in the first field; overhead should cover tools, insurance, and other business costs only.
How often should I recalculate my rate?
Annually, or whenever your overhead, salary goals, or utilization assumptions change materially.
How We Compare
| Feature | MVPHub | Microsoft Excel | Google Sheets |
|---|---|---|---|
| Guided rate-specific inputs | Included | Limited | Limited |
| Instant calculation | Included | Included | Included |
| Method explained in plain language | Included | Limited | Limited |
| Focused next steps | Included | Not included | Not included |
Excel and Sheets can build a detailed rate model with full formula control. MVPHub gives a guided, instant calculation without building a spreadsheet from scratch.
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