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Consulting day-rate calculator

Find a consulting day-rate baseline that allows for expenses and days you cannot bill.

By Lufu Published 2 min read

TL;DR — the short version

A consulting day rate needs to support the weeks and days you can actually sell, rather than every working day on the calendar.

Client delivery sits alongside proposals, business development and your own admin. Start with a realistic number of billable days, then check whether the resulting rate fits the engagement.

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Let’s work it out.

The starting figures are illustrations, not industry benchmarks. Replace them with your own costs and assumptions. Calculations happen in your browser; figures are not saved to your account or sent as analytics properties.

Changes the display label only. It does not convert amounts. Use a consistent basis for tax-inclusive or tax-exclusive figures.

Your planning estimate

Day-rate baseline
AUD 795.45
Hourly equivalent
AUD 113.64
Annual billable days
132
Annual revenue needed
AUD 105,000.00

How this calculation works

Annual income goal plus annual expenses, divided by working weeks × billable days per week, gives the day-rate baseline. Divide by delivery hours per day for an hourly equivalent. There is no separate profit or contingency allowance in this baseline.

A little more context: Hourly rate or project fee?.

How the calculation works

Annual income goal plus annual expenses, divided by working weeks × billable days per week, gives the day-rate baseline. Divide by delivery hours per day for an hourly equivalent. There is no separate profit or contingency allowance in this baseline.

A worked example you can change

The tool starts with the illustrative figures below. They demonstrate the calculation; they are not industry averages, recommended rates or promises about what you will earn. All monetary figures in this example are AUD.

Annual income goal before personal tax: 90000 AUD
Annual business expenses: 15000 AUD
Working weeks per year: 44
Billable days per week: 3
Delivery hours per day: 7

Day-rate baseline: 795.45 AUD
Hourly equivalent: 113.64 AUD
Annual billable days: 132
Annual revenue needed: 105,000 AUD

Make the estimate fit your consulting work

The most useful estimate is one you can explain. Check these details against the actual job or business arrangement before you rely on the result.

  • Keep proposal work and business development out of billable days unless a client has explicitly agreed to pay for them.
  • Define what a day includes: workshops, preparation, travel and follow-up may need different treatment.
  • A short advisory engagement and a long committed contract may have different delivery risks. Treat this number as a baseline, not a market-rate recommendation.

What this tool does and does not include

The calculation uses the figures you enter and the method above. It does not fetch market rates, convert currencies, assess demand or calculate tax, payroll or legal obligations. Choose a consistent tax basis for the amounts you enter. Changing display currency changes the label only.

Your inputs stay in this browser page and reset when you leave or reload. You can copy or download a text estimate with its assumptions. If you choose to use Lufu, you can then prepare an actual quote or invoice with the details you have agreed.

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