How much of your working week actually earns money? Enter the hours you work and the hours you bill, and this free calculator shows your utilization rate and what the unbilled time costs you.
| Weekly revenue | – |
| Yearly revenue | – |
| Value of unbilled hours per year | – |
| Effective rate per hour worked | – |
How it works
Utilization rate = billable hours ÷ hours worked × 100. Effective rate = weekly revenue ÷ hours worked. The value of unbilled hours is the hours you work but do not bill, multiplied by your rate and your working weeks.
Unbilled time is not wasted. Sales, admin and learning keep the business running. But knowing the share helps you set a rate that covers it.
Worked example
You work 45 hours a week and bill 25. Your utilization is 25 ÷ 45 = 55.6%. At 60 an hour you earn 1,500 a week, which is about 33.33 for every hour you work.
Tips
- Track your time for a few weeks to see the real numbers. The timesheet calculator adds up a week for you.
- Freelancers commonly bill well under their full working hours. Use your utilization when you set a rate with the hourly rate calculator.
- Raise your rate or cut unpaid work if your effective rate is lower than you need.
Frequently asked questions
What is a good utilization rate?
It depends on your work. Many freelancers bill somewhere around half to three-quarters of the hours they work. Use your own history.
Should I include admin as billable?
Only if a client pays for it. Otherwise it is unbilled time.
Can utilization be over 100%?
No. If you get more than 100%, check that billable hours are not higher than hours worked.
More free tools: Hourly rate calculator · Timesheet calculator · All free tools
This calculator is for general guidance only. Check important figures yourself.