Billable Hours Calculator
With this billable hours calculator, you can easily calculate the billable hours and billable value of your job. This will allow you to understand how much your company values you.
This article will help you to understand what are billable hours and how to calculate the billable hours. We will also show you its application by demonstrating some examples.
What are billable hours? Billable hours meaning
🙋 Billable means that a fee can be charged for the service or time.
Billable hours are the amount of your work time that can be charged to your employers or clients.
By knowing your billable hours and billable rate, you will be able to calculate the amount of money or salary you are eligible to claim from your employers or clients. We will discuss the calculations below with an example of how we use the billable hours to calculate the billable value.
How to calculate billable hours and billable value
To help you understand the calculation of the billable value, let's take Mirabelle as an example:
 Name: Mirabelle
 Billable rate: $20 per hour
 Billable time: 120 hours
The billable value calculation only takes three steps:
 Determine your billable rate:
The first step is to determine the
billable rate
. Thebillable rate
or hourly rate is the salary you and your employer have agreed upon in exchange for your service for a certain duration, for example, per hour. For Mirabelle, herbillable rate
is$20 per hour.
 Calculate your billable hours or billable time:
Next, we need to calculate the
billable time.
Thebillable time
is the amount of time you have worked. Mirabelle has worked for120 hours
. Typically to calculate the billable hours, you need to write down your daily work hours and add all of them together at the end of the period.
 Calculate the billable value:
The last step is to calculate the
billable value
. You can calculate it using the billable value formula:
billable value = billable rate × billable time
.
For our billable hours example, Mirabelle's
billable value
is20 × 120 = $2,400
.
If you need to repeat the above steps many times or want to check the answer, our billable hours calculator is a guaranteed way to find the answer.
Why is billable hours important?
Understanding billable hours can be critical, especially to parttime workers or freelancers who usually charge their clients by the amount of time they put into completing their projects. When you understand this concept, you will know how to increase your overall earnings by participating in parttime jobs or freelancing.
Even though we generally use billable hours in parttime and freelancing jobs, some service companies such as law firms and consulting firms also charge their client using billable hours.
FAQ
What is hourly billable rate?
The hourly billable rate is the amount of money or salary you get by putting in an hour of work. Multiply it by the hours you worked, and you will get the billable value.
How can I calculate my billable value?
You can calculate your billable value in three steps:

Determine your billable rate.

Calculate your billable time or billable hours.

Apply the billable value formula:
billable value = billable rate × billable time.
What is the billable value for 24 hours of work at $15 per hour?
$360. The billable value for 24
hours of work at $15
per hour is calculated:
Billable value = 24 × 15 = $360.
Can billable hour be negative?
No, billable hours cannot be negative. This is because there is no negative time, and no one can work for less than 0 hours.
Can billable hours be applied to fulltime jobs?
Although we typically use billable hours in freelance and parttime jobs, they can also be applied in fulltime employment. For instance, by calculating the billable hours, you will know how much you are getting paid by working for an hour at your fulltime job.