Question 1

How do I work out my hourly charge-out rate?

Accepted Answer

Add every employment cost (wages plus employer PRSI/NI, pension or superannuation), add your overheads (rent, vans, insurance, software, non-billable staff), divide by the hours you can actually bill, then add your target margin. This calculator does all four steps instantly for Ireland, the UK and Australia.

Question 2

What is a break-even hourly rate?

Accepted Answer

The break-even rate is your total cost per billable hour — true labour cost plus overhead per hour. Charging below it loses money on every hour worked, before you have paid yourself a margin.

Question 3

Why is my charge-out rate so much higher than wages?

Accepted Answer

Because a wage is not the cost. Employer PRSI/NI or superannuation adds roughly 12–18%, and overheads plus non-billable time are carried by the hours you sell. A tradesperson on €23/hour in wages typically costs €50+ per billable hour before margin.

Hourly Charge-Out Rate Calculator