Freelance Pricing Glossary
- Billable hours
- Time you invoice to clients. Excludes admin unless contracted.
- Net income
- Take-home after tax—not gross revenue.
- Gross revenue
- Total client payments before expenses and tax.
- Overhead
- Recurring business costs: software, insurance, equipment, co-working.
- Profit margin
- Revenue slice for growth, marketing, and reserves—see calculator.
- Effective hourly rate
- Sticker rate adjusted for non-billable time—tool.
- Retainer
- Fixed monthly fee for a defined scope—calculator.
- Tax reserve
- Monthly set-aside for future tax payments—tool.