Rate Increase Calculator
Rate Increase Calculator
The Rate Increase Calculator models what actually happens to your annual income when you raise your rates and some clients walk. You enter your current hourly rate, the percentage increase you are considering, the share of clients you expect to lose at the new rate, your current annual billable hours, and the percent of freed time you can fill with new clients at the new rate. The calculator returns the net annual income change, your income at both the old and new rates, and a side-by-side comparison. Use it before raising rates so you do not flinch when the first client pushes back. A twenty percent raise that loses thirty percent of clients still nearly always wins on income, especially if you can replace even half the freed hours.