Free UK contractor calculator

Annual Revenue to Hourly Rate Calculator

Convert gross annual revenue into equivalent hourly rate using your expected billable working pattern.

Quick answer

How this calculator works

Hourly rate = annual revenue ÷ (billable weeks per year × billable hours per week). The result is rounded to the nearest penny using half-up rounding.

Rate converter

Calculate hourly rate

Enter the annual revenue and the working-pattern assumptions used in the conversion.

Your gross revenue for the year.

Exclude weeks you do not expect to invoice.

Use the hours you expect to bill in a typical week.

Your result

Equivalent hourly rate

£—

Your result will appear here.

Assumptions and limitations

  • The hourly rate is a gross equivalent before tax, pension contributions, agency fees and business expenses.
  • All working-pattern values are editable assumptions and should reflect time you expect to bill.
  • The calculation does not add holiday, sick leave or other employment benefits.

Sources

No external rates or thresholds are used in this calculation.

Examples

Typical working pattern

Annual revenue of £92,000 over 46 weeks and 40 hours per week is equivalent to £50 per hour.

Adjust for your schedule

Change the billable time assumptions to see how the equivalent hourly rate changes.

Frequently asked questions

Does this estimate take-home pay?

No. This converts gross annual revenue to gross hourly rate; it does not deduct tax, fees or expenses.

Which working pattern should I use?

Use time you realistically expect to invoice, excluding unpaid leave, gaps between contracts and non-billable work.