METHOD & GUIDANCE
How this calculation works
Enter figures from the same period and on a consistent VAT-inclusive or VAT-exclusive basis. Tool IQ recalculates every output immediately; nothing you enter is saved or sent to us.
How to use the result
Start with a realistic billable-day estimate, then test quiet periods, holidays and a contingency above the minimum sustainable rate.
Worked example
The example spreads a 58,000 annual revenue need across 161 billable days, producing a day rate of roughly 360.
Common mistakes
- Treating every working day as billable.
- Leaving software, insurance or professional fees out.
- Confusing the revenue target with personal take-home pay.
Frequently asked questions
Is this calculator free?
Yes. It requires no account and stores no calculation inputs.
Can I use the answer for a formal filing?
No. It is a planning estimate, not accounting, tax, legal or investment advice. Confirm material decisions with a qualified professional.
Should I include VAT?
Use a consistent basis throughout. Businesses that recover input tax commonly model net figures; consumer-facing prices are often considered gross.
Continue the decision
- VAT Calculator — Add or remove VAT with a transparent breakdown.
- Profit Margin Calculator — See profit, margin and markup from one sale.
Method reviewed 26 July 2026. Figures are illustrative and calculated locally in your browser.